Hamburg Süd Group starts ambitious cost-reduction programme

The Management of the Hamburg Süd Group reckons with a difficult year 2009. “Result and cash flow will definitely be below last year’s figures. We will have to reckon with losses“, Ottmar Gast, Spokesman of the ExecutiveManagement, said to journalists on Monday. 

The Manager announced a rigorous cost management as a counter measure for 2009. The target is to reduce costs by a total amount between EUR 250 and 300 million. The focus lies in personnel costs. For the time being it is not planned that employees are made redundant. However, Mr. Gast did not totally exclude that at the presentation of the balance sheet.

Thanks to the integration of the liner shipping activities, which were taken over from Costa Container Lines (CCL) at the end of 2007, and thanks to the background of a growing global economy during the first six months, Hamburg Süd Group – which comprises the Brazilian affiliate company Aliança Navegaçao é Logistica Ltda. but also tramp activities Rudolf A. Oetker and Furness Withy Chartering – was able to increase its liner shipping volumes compared to the previous year by 25 per cent to almost 2.7 million TEU. 

In 2008 total turnover showed a year-on-year increase of 24 per cent to EUR 4.5 billion. Container stock and storage position capacities for vessels showed similar increases. The number of staff members increased only well below the average, which is why productivity of the company increased once again. 

Investments amounted to EUR 530 million, which is just below the historical peak level of the year 2007. The group started operating two new "Monte"-buildings with a nominal storage position capacity of each 5,500 TEU and three "Rio"-vessels (5,900 TEU).

Quelle: Österreichische Verkehrszeitung