HANJIN HEAVY INDUSTRIES

- A bid to build four 4,700TEU container carriers and
   two logistic support vessels
- Great knowhow in mid-size container carriers and
   special purpose vessels / short lead time
- Shipping firms are pleased to hear the calling off of the strike /
   a beginning of winning more bids

Hanjin Heavy Industries & Construction(HHIC) Yeongdo Dockyard has finally won a bid for the first time in three years. On July 6, the company announced that it won a bid to build two logistic support vessels from
Defense Acquisition Program Administration and signed an LOI to build four 4,700TEU container carriers
at US 250 million dollars with shipping firms in Asia.

In fact, it has taken almost three years for HHIC Yeongdo Dockyard to a bid since 2008. The company has won a bid to build both merchant ships and special purpose vessels.

On June 27, in addition, it eventually called off the strike which has lasted for six months. In other words, HHIC Yeongdo Dockyard is now ready to bounce back and normalize its operation.

One shipping company said, “We have been cautious to place an order due to high shipbuilding price and labor strike. After hearing the news that the strike has ended peacefully, we have decided to sign the agreement because HHIC is
excellent in terms technology and lead time.”

An official from Hanjin Heavy Industries & Construction (HHIC) said, “We are promoting our sales activities through the global sales network. We expect more good news.”
 
According to the industry sources, HHIC has actively participated in bidding with a goal of taking care of things
at the end of the labor strike and normalizing HHIC Yeongdo Dockyard. Considering Hanjin’s advanced technology in
mid-sized container carriers and special purpose vessels and fast lead time, it appears that HHIC would be able to win more bids.

Besides the contracts Hanjin has recently won, the Korean shipbuilder is thinking of starting new business to minimize the off-business period of Yeongdo Dockyard.

Meanwhile, the container carrier and logistic support vessel HHIC Yeongdo Dockyard has recently signed refer to the
state-of-the-art, eco-design ship (up to 20 knots, 251m in length, 37m in width and 20m in height) and
Landing Craft Utility (LCU) for the support on naval operations and logistic supply respectively.
 
■ Attachment: (Photo) Sister Vessel