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Maersk Line, Limited Replaces Maritime Security Program Ships

November 2004

Transfers Executed for Six Replacement Vessels; Planning Continues for Transfer of Other Ships Agreements were signed Oct. 1, 2004 between Maersk Line, Limited (MLL) and the Maritime Administration to transfer the Maritime Security Program (MSP) contracts on six existing SIU-crewed MSP vessels built in the 1980s and managed by U.S. Ship Management, Inc. (USSM) to six newer containerships. The new replacement vessels are the Sealand Intrepid, Sealand Lightning, Sealand Charger, Sealand Comet, Sealand Meteor and Alva Maersk. The replacements were approved by the Maritime Administration and U.S. Transportation Command and represent a significant improvement in the ability of MLL’s U.S.-flag fleet to serve its military and commercial customers. “This is a major milestone in MLL’s plan to enroll newer, faster and larger U.S.-flagged vessels into the maritime security program,” said Ken Gaulden, MLL’s senior vice president for marketing and government relations. “The end result will be a much improved MSP.” In an Oct. 1 news release, Maersk noted that MSP age limits require that older vessels be replaced in the current program before reaching 25 years of age. The first of the new replacement vessels was expected to enter the U.S- flag fleet late last month. The replaced vessels (the Explorer, Defender, Innovator, Patriot, Liberator and Endurance) will continue to sail under the U.S. flag until their replacements begin operating under the U.S. flag with a U.S. crew. The disposition of the six replaced vessels will be determined in the near future, but they are ultimately expected to operate in Maersk’s international fleet. Each of the replacement vessels will be integrated into Maersk’s existing U.S.-flag fleet, streamlining operations and creating efficiencies in MLL’s network of intermodal assets, including terminals, cranes, logistical platforms, computerized management systems, containers and chassis. The transfers will strengthen the MSP for military purposes and enhance the U.S.-flag presence in international shipping. Maersk Line, Limited is based in Norfolk, Va. and is one of the Department of Defense’s primary shipping contractors.