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Joint Venture “Go Live” – Next Steps – Message from CEO

JOINT VENTURE “GO LIVE” – NEXT STEPS

Today marks a major milestone for ACFS and its employees, when our new joint venture with Patrick opens for business.

Effective the 1st August 2015, a new operating and organisational structure has commenced, and is currently being transitioned into the business with immediate effect. Senior management that are transitioning into ACFS Port Logistics (Newco) from Patrick and ACFS, will be working closely in order to effect a seamless transition.

The transition plan is in place, and we will keep you notified about the new organisation as it takes shape in coming days. The effects of these changes, will be minimal to many of you.

But please make no mistake, today represents a major opportunity for all of our people, some 450 of whom will transition into the new venture. This means we can now proceed with building our new business together, investing in its success and in the success of you, our people.

Our aim is simple: to create Australia’s best container logistics business with a reputation second to none in the market place for customer service and operational excellence. Being a market leader, with a strong focus on customer service is imperative to our success as a company, and as individuals.

We will work will work hard as a group, to create a “one team, one culture, one brand ” entity so that the new business fulfils another major ambition we’ve set for it – to be a growth opportunity for our people.

Your safety is, of course, a paramount concern. I’d remind you all that safety is the responsibility of all of us.

In the short term the plan is still for the ACFS and Patrick brands to appear jointly on all correspondence to demonstrate the 50/50 nature of the business we’ve formed. The business will be formally be branded as ACFS Port Logistics Pty Ltd.

I would like to make sure that all ACFS employees welcome the Patrick Management and employees to the new business, and make them feel welcome, and part of the immediate team from day 1. Culturally, this is an important step to the success of our business going forward.

Personally I’d like to also extend a warm welcome to our new board members in Murray Vitlich and Jeff Procter who will join both Terry Tzaneros and myself on the board. I would also like to thank James Dorney and his extended leadership team throughout Patrick and Asciano, for their efforts and continued assistance throughout the transition. Most importantly, I’d like to thank all of you for your continued contribution and hard work, and I look forward to our continued success.

Exciting times ahead, and together we look forward to many opportunities that lay ahead.

Regards,

Arthur Tzaneros
Chief Executive Officer

ACCC will not oppose Patrick’s proposed joint venture with ACFS – Thursday 25 June 2015

ACCC will not oppose Patrick’s proposed joint venture with ACFS
25 June 2015

The Australian Competition and Consumer Commission has announced that it will not oppose Patrick Container Ports Pty Ltd’s (Patrick) (a subsidiary of Asciano Limited (ASX: AIO)) proposed joint venture with Australian Container Freight Service Pty Ltd (ACFS) pursuant to section 50 of the Competition and Consumer Act.

“The ACCC considered that the provisions of the joint venture that relate to the acquisition of shares or assets were unlikely to lead to a substantial lessening of competition in any market,” ACCC Commissioner Dr Jill Walker said.

Patrick and ACFS both supply container transport (‘wharf cartage’) as well as warehousing and distribution services in Sydney, Melbourne, and Brisbane. Both parties also have interests in empty container parks in Sydney. ACFS was also expected to commence operations in Fremantle and compete with Patrick in that market in the future.

“The ACCC conducted market inquiries with a range of interested parties. Our review focused on competition in the supply of wharf cartage services, particularly at Port Botany. We also considered the potential for any of Patrick’s container terminals to be operated in a way which disadvantaged the joint venture’s competitors,” Dr Walker said.

The ACCC determined that the joint venture was unlikely to increase Patrick Terminals’ incentive to favour the joint venture to the detriment of rival wharf cartage providers. Patrick Terminals was already vertically integrated prior to the joint venture and the joint venture was unlikely to substantially alter its incentives.

The joint venture would be one of the largest providers of each service in Sydney, Melbourne, Brisbane and Fremantle. However, the ACCC determined that, following the joint venture, Patrick and ACFS would continue to face strong competition from a number of alternative providers (including Qube, Toll Extra, Swift, Chalmers and others).

Asciano Limited (AIO) is listed on the Australian Stock Exchange. It is an Australian based freight and logistics company.

Port of Brisbane – DP World Chain of Responsibility Fee Increase

DP World Chain of Responsibility Fee Increase Port of Brisbane

Dear Customer,

DP World Stevedores Operations have recently advised of an increase to their Chain of Responsibility Surcharge effective from 1st July 2015.

As part of Chain of Responsibility Legislation compliance, DP World Brisbane will be providing a weigh in motion service for all Import Containers. The load measurement devices are intended to ensure compliance to axle loading requirements of vehicles using public roads.

A Chain of Responsibility Overweight Fee will be payable when a vehicle departing from the Terminal via the weigh in motion facility receives a red light, does not have current permits is refused exit from the Terminal and DP World are required to remove one or more containers from the trailer.

• Chain of Responsibility Fee increase from A$5.10 to A$5.30 plus GST per Full Import Container
• Chain of Responsibility Overweight Fee A$104.00 plus GST per Container removed from a trailer.

Regrettably, ACFS Port Logistics will need to pass on this charges as a direct consequence of this increase of the Terminal Chain of Responsibility surcharges.

As a result, ACFS Port Logistics will include these charge to your account from our Port of Brisbane Operations effective from 1st July 2015.

Despite the payment terms of 7 days being imposed on ACFS by the Terminal Operators, in the circumstances we are pleased to confirm that ACFS will maintain the additional charge in accordance with your usual terms of payment.

ACFS Port Logistics is committed to continuing to provide industry leading service standards, and effective port related logistics solutions to our valued customers. We look forward to your continued support throughout 2015.

Yours sincerely
Wayne Morris
Queensland State Manager

Queens Birthday Long Weekend Notice – June 2015

Dear Clients

Please be mindful of this long weekend and the Port Botany Terminals working hours.

To ensure your containers are collected and delivered as required next week please forward appropriate documentation to ACFS as per the attached SOP.

Providing this documentation will avoid unnecessary wharf storage and detention costs during and following the Queen’s Birthday Long Weekend.

ACFS is working with all Port Botany Terminals during the long weekend collecting imports in an effort to avoid congestion or delays.

Thanking you for assisting and wishing all our customers and their staff a safe Queens Birthday long weekend

Adverse Weather Conditions – Port Botany – Friday 22 May 2015

Dear Customers

Please be aware the Port Botany area is currently being buffeted by strong winds and heavy rain periods.

Due to the boisterous weather conditions, Port Botany Container Terminals and Empty Container Parks have ceased work.

ACFS anticipate no service delays at this stage however if current conditions continue delays collecting containers may occur.

We will keep you informed should conditions deteriorate and effect container deliveries.

Container Terminals and Empty Parks are now operating in the Port Botany Area – Thursday 23 April 2015

Dear Customers  

 

All Container Terminals and Empty Parks are open and operating this morning.

 

Ship arrivals have been affected by the weather, terminals are now working to recover lost time.

 

ACFS will be coordinating fleet and staff over the next days to clear and deliver containers as available and required.

 

Thank you for your patience during the past few days.

Don Hughes

General Manager – NSW

DP World Weather Update – Wednesday 22 April 2015

Weather Update from DP World

Sydney

At this point Port Botany is still closed to vessel movements but we understand that  harbour authorities are currently assessing the situation. The terminal is  not yet operational and the two vessels alongside still have storm lines out with tugs periodically in attendance to reduce the danger of them being blown off the wharf.

Further adverse weather is forecast for the early part of today however conditions are expected to ease through this afternoon. Terminal management is currently assessing the condition of the yard to determine what rectification measures need to be undertaken before work can recommence when weather conditions permit. We have labour standing by and work will resume as soon as we are safely able to do so.

Update on Adverse Weather Conditions – Port Botany – Wednesday 22 April 2015

Dear Customers

The situation at Port Botany has not changed with ongoing high winds and heavy rain falls.

Container Terminals and Empty Parks are still closed and will remain closed whilst current poor weather continues.

The closures will effect FCL deliveries for containers currently on vessels at berth or on ground at the Port Botany Terminals.

ACFS will continue to deliver containers that were collected prior to the closure, therefore please communicate your requirements through the ACFS coordinators as normal.

High winds have slowed operations within our Port Botany facility and heavy traffic is causing further delays however please be patient as we complete deliveries that may be slightly behind schedule.

We will keep you updated on the weather conditions and the effect on Port Botany Operations.

Please be mindful Empty Park closures may impact on container free days. Therefore it may be prudent to contact your shipping lines for extended free time due to this unforseen event.

UPDATE – Adverse Weather Conditions Port Botany Terminals & Empty Parks – Tuesday 21 April 2015

Dear Customers

The situation at Port Botany has not changed with ongoing high winds and heavy rain falls.

Container Terminals and Empty Parks are still closed and will remain closed whilst current poor weather continues until 10pm tonight and possibly into the morning.

The closures will effect FCL deliveries for containers currently on vessels at berth or on ground at the Port Botany Terminals.

ACFS will continue to deliver containers that were collected prior to the closure, therefore please communicate your requirements through the ACFS coordinators as normal.

High winds have slowed operations within our Port Botany facility and heavy traffic is causing further delays however please be patient as we complete deliveries that may be slightly behind schedule.

We will keep you updated on the weather conditions and the effect on Port Botany Operations.

Please be mindful Empty Park closures may impact on container free days.