Compania Sud Americana De Vapores S.a. · BCS:VAPORES
Compania Sud Americana De Vapores — Investor Presentation (June 2010)
44 slides from Compania Sud Americana De Vapores's investor presentation, June 2010
Slide 1: Compañía Sud Americana de Vapores S.A.
Compañía Sud Americana de Vapores S.A. June, 2010
Slide 2: Agenda
Agenda • CSAV Group • Containerized Cargo Transportation Industry • CSAV Figures • Successfully Weathering The Storm. Positive Trends. • Warnings and Risks Pág. 2
Slide 3: CSAV Group
CSAV Group Pág. 3
Slide 4: Since 1872
Since 1872 Founded in Chile in 1872, Compañía Sud Americana de Vapores is the largest shipping company in America and one of the oldest ones in the world. Traded in the Santiago Stock Exchange since its origins in 1893. Pág. 4
Slide 5: CSAV is the largest Shipping Company in America
CSAV is the largest Shipping Company in America Ranking Operator Country Capacity (Teus) 8 CSAV Group Chile 477,519 28 CCNI Chile 42,192 31 Maruba + CLAN Argentina 39,231 34 Horizon Lines USA 34,150 35 Seaboard Marine USA 33,841 39 Matson USA 29,074 48 Crowley Liner Services USA 19,624 57 Westwood U
Slide 6: Business Units
Business Units Shipping Business Transportation of: Containerized Cargo Vehicles Reefer Cargo Solid and Liquid Bulks SAAM Terminal Operations Tugboats Others: Container deposit, loading and unloading services, port, agency, logistics, airport and aquaculture. Pág. 6
Slide 7: Container Transportation Services: a Global Company
Container Transportation Services: a Global Company ECS EUROANDES ANDEX FEEDER ADRIATIC JCS ABS SGLX AMERICAS BSL JCS GULF BRIDGE MED MEX CUBA INTRA GULF ANDEX 1 & 2 IMEX INDUS AMEX MEDITERRANEAN ANDEX 1 & 2 MAYA TANGO 1 & 2 US GULF ORINOCO AMEX MNS & FEM ASAX SIRIUS MARCO POLO EUROATLAN 1 & 2 ANDIN
Slide 8: Container Transportation Services
Container Transportation Services West Coast South America East Coast South America SERVICE ROUTE SERVICE ROUTE Americas USEC - WCSA Asax ECSA - S. Africa - Asia Andex Sling 1 Asia - Mex - WCSA Euroatlan Sling 1 N Eur - ECSA Andex Sling 2 Asia - Mex - Central America - WCSA Euroatlan Sling 2 N Eur -
Slide 9: Vehicle Transportation Services
Vehicle Transportation Services GRAN MEDITERRANEAN GRAN AMERICA GRAN MIDDLE EAST EUMEXSA SHIN NANSEIKAI SHIN NANSEIKAI CARPAC NASA EAST COAST LOOP A ASAF EAST COAST LOOP B AUSTRAL 10 specialized services in vehicle transportation, operated by 10 “Car Carrier” ships. CSAV, in consortium with other le
Slide 10: Reefer Cargo Transportation Services
Reefer Cargo Transportation Services Philadelphia USEC Los Angeles USWC West Coast South America – West Coast South America – East Coast North America West Coast North America CSAV operates Round Voyage 28 NB Frequency Weekly specialized services Round Voyage 28 NB Frequency Weekly SB Season Dec / A
Slide 11: Liquid and Solid Bulk Transportation Services
Liquid and Solid Bulk Transportation Services Dry Bulk DBCN Bulk** Dry Bulk Liquid Bulk 2 specialized services in the bulk cargo transportation services , operated by 4 “bulk carriers” and one “chemical carrier”. **DBCN on spot basis CSAV by means of its solid and liquid bulk transportation services
Slide 12: SAAM in America: 62 Ports in 11 Countries
SAAM in America Florida 62 Ports in 11 Countries Tampico Altamira Terminal operations, U.S.A. Tuxpan Veracruz Ciudad del Carmen tugboats, container deposits, Mexico Lázaro Cárdenas Dos Bocas Puerto Quetzal load/unload services, port, San José Puerto Caldera Punta Morales agency, logistics, airport a
Slide 13: SAAM: Concessions in Chilean Ports
SAAM: Concessions in Chilean Ports Port Operations in 6 Chilean ports Arica Iquique Terminal Puerto Iquique Terminal Antofagasta Terminal Arica S.A. Internacional S.A. Internacional S.A. Antofagasta San Antonio San Antonio Terminal San Vicente Terminal San Vicente Internacional S.A. San Antonio Inte
Slide 14: SAAM: Port Concessions in America
SAAM: Port Concessions in America Florida International Terminal Port Everglades, USA Guayaquil Terminal Portuario Guayaquil Pág. 14
Slide 15: SAAM Tugboat Fleet
SAAM Tugboat Fleet Mexico: 24 Guatemala: 1 Costa Rica: 3 Colombia: 1 Ecuador: 8 Peru: 19 Chile: 24 Uruguay: 8 Brazil: 21 Total: 109 Tugboats Pág. 15
Slide 16: CSAV Group Property Structure
CSAV Group Property Structure The largest shareholder is the Claro Group, which holds 38,02% of the company’s property. The Claro Group is an important Chilean industrial conglomerate involved in the industrial, shipping, port, wine and communication industries. CSAV's Property Structure (May 5, 201
Slide 17: The Containerized Cargo Transportation Industry
The Containerized Cargo Transportation Industry Pág. 17
Slide 18: The Largest Container Shipping Companies
The Largest 30 Container Shipping Companies Ranking according to Capacity (Teus) APM-Maersk 1 2,059,135 (14.6%) Mediterranean Shg Co 2 1,646,213 (11.7%) CMA CGM Group 3 1,101,793 (7.8%) APL 4 595,650 (4.2%) Evergreen Line 5 557,456 (4.0%) Hapag-Lloyd 6 543,743 (3.9%) COSCO Container L. 7 496,156 (3.
Slide 19: Demand for Containerized Cargo Transportation vs. GDP
Demand for Containerized Cargo Transportation vs. GDP Between 1981 and 2009, the demand for containerized cargo transport grew on average more than 3.3 fold compared to the world’s GDP, while CSAV grew 10.9 fold in the same period. % CSAV Growth vs Shipping Industry vs World's GDP 80% 70% 60% 50% Gr
Slide 20: Containerized Cargo Transportation Supply
Containerized Cargo Transportation Supply Since 1996, the available nominal world capacity for transport in Container Vessels has grown at an average rate of 11,4%. Container Capacity (% of Growth) 18% 16% 14% Average 12% Growth per .6% 1% 10% Year: 8% 13.2% % 13.2% % 16.6 12.7% % 15.1 13.8 11,4% 11
Slide 21: CSAV Figures
CSAV Figures Pág. 21
Slide 22: Results: 2003 – 2009
Results: 2003 – 2009 (Million of US$) 2003 2004 2005 2006 2007 2008 2009 Var. '09 - '08 US$ MM % Operating Revenues 2,136 2,686 3,902 3,859 4,151 4,887 3,028 (1,859) -38.0% Operating Expenses (1,863) (2,290) (3,425) (3,795) (3,786) (4,689) (3,358) 1,331 -28.4% Operating Margin 273 395 477 65 365 198
Slide 23: Results: Q1 2009 - Q1 2010
Results: Q1 2009 - Q1 2010 (Million of US$) Q1-2009* Q1-2010* Var. Q1 '10 / Q1 '09 US$ MM % Operating Revenues 827 1,112 285 34.5% Operating Expenses (1,023) (1,097) (74) 7.2% Operating Margin (196) 15 211 - S&A Expenses (68) (50) 17 -25.5% Operating Income (264) (35) 229 - % of Op.Margin -31.9% -3.
Slide 24: Operating Results per Business: Q1 2009 – Q1 2010
Operating Results per Business: Q1 2009 – Q1 2010 Shipping Business Q1-2009* Q1-2010* Var. Q1 '10 / Q1 '09 (Million US$) US$ MM % Operating Revenues 754 1,037 283 37.5% Operating Expenses (973) (1,042) (69) 7.1% Operating Margin (219) (5) 213 S&A Expenses (60) (42) 18 -30.4% Operating Income (278) (
Slide 25: Operated Fleet by CSAV (up to May, 2010)
Operated Fleet by CSAV (up to May, 2010) Container Bulk Reefer Car Chemical Vessels 127 Carriers 5 Carriers 5 Carriers 10 Carriers 1 (8 owned, 1 by (1 by joint joint venture) (1 owned) venture) Owned Ships 11 (9 owned 100%, 2 by JV) Chartered Ships 137 Total Ships 148 On board TEUS Container Vessels
Slide 26: Successfully Weathering the Storm. Positive Trends.
Successfully Weathering the Storm. Positive Trends. Pág. 26
Slide 27: 2009: The Worst Crisis in History. Successfully Weathering the Storm
2009: The Worst Crisis in History. Successfully Weathering the Storm • Industry volumes decreased 9% in 2009, in an industry that has a historical average growth of 8,5% and never had a negative growth. • Container Shipping Lines recorded operating losses of US$15 Bn. • Even though CSAV reduced expe
Slide 28: 2009: The Worst Crisis in History. Successfully Weathering the Storm (cont.)
2009: The Worst Crisis in History. Successfully Weathering the Storm (cont.) • CSAV took advantage of opportunities and grew during the crisis, building the foundations for development in the long term. – On Board Capacity: Jun -10 / Jan-09: +65.5% – During the second quarter of 2010 we expect a pos
Slide 29: An Appealing Industry in the Long Term
An Appealing Industry in the Long Term • 90% of world’s trade is conducted through maritime routes. (Source: International Maritime Organization, February 2009) • Globalization: an irreversible process which has not finished yet. • Large growth ratios: during the last 29 years the containerized carg
Slide 30: Idle Capacity Evolution
Idle Capacity Evolution Idle Capacity 12% 1,800 10% 1,500 Over Total Fleet (%) Teus (Thousand) 8% 1,200 6% 900 4% 600 2% 300 0% 0 Teus Over Total Fleet Source: Alphaliner Pág. 30
Slide 31: Orderbook Evolution
30% 35% 40% 45% 50% 55% 60% 65% Jan-07 Mar-07 Source: Clarkson May-07 Jul-07 Sep-07 Orderbook Evolution Nov-07 Jan-08 Mar-08 May-08 Jul-08 Sep-08 Nov-08 Jan-09 Mar-09 Orderbook / World Capacity May-09 Jul-09 Sep-09 Nov-09 Jan-10 Mar-10 May-10 Pág. 31
Slide 32: Company in a Privileged Position
Company in a Privileged Position • Market leader in Latin America • Leadership in emerging economies • Critical mass / efficient minimal scale • We have conquered the distribution channel • An investment platform • Ship-Owning Business: a world to be explored • SAAM: a great company with an enormous
Slide 33: Leadership in Latin America and Emerging Economies
Leadership in Latin America and Emerging Economies • In the container transportation market in Latin America, CSAV holds a share between 14% and 16%, positioning itself among the three leading operators. • CSAV has a strong presence in emerging economies such as Brazil, China, India, Middle East and
Slide 34: A New Business Model: We have conquered the Distribution Channel
A New Business Model: We have conquered the Distribution Channel Currently we control directly more than 80% of our sales. Northern Europe North America Mediterranean Asia South American South American East Coast West Coast & Africa Operations in 205 cities through 105 Agencies Regional offices in 7
Slide 35: An Investment Platform
An Investment Platform • Geographical diversity • Business diversity and Investment projects: logistics ships ports containers, etc. Pág. 35
Slide 36: Ship-owning Business: A World to be Explored
Ship-owning Business: A World to be Explored Owned vs Operated Capacity (in Teus) CSAV 9.0% Industry (excluding CSAV) Top 10 47.3% Top 50 48.9% Top 100 48.8% Jan-02 Jan-03 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Chartered Fleet [Teus] 91,118 98,695 147,702 193,189 221,3
Slide 37: SAAM: a Great Company with an Enormous Potential
SAAM: a Great Company with an Enormous Potential SAAM has an enormous potential to develop investment opportunities and complementary businesses to CSAV. SAAM Net Income: 2002 - 2010 70 60 50 (US$ million) 40 69.0 66.3 30 40.3 44.6 20 30.8 35.0 11.8 29.2 28.3 10 0 2002 2003 2004 2005 2006 2007 2008
Slide 38: CSAV Group Historical Liftings
Teus (Thousand) 1,000 1,500 2,000 2,500 3,000 0 500 1970 0.9 0.9 1972 0.9 0.9 1974 0.9 0.9 1976 1.8 1.8 1978 2.7 Historical Liftings 2.7 1980 3.6 4.5 1982 7.2 10.7 1984 13.8 18.8 1986 23.4 31.3 1988 35.9 43.5 1990 46.5 62.9 1992 85.0 102.8 1994 143.9 238.7 1996 315.5 CSAV Group Historical Liftings 4
Slide 39: Recent Record Liftings
Recent Record Liftings CSAV Group Container Liftings Evolution 260 240 220 Teus (Thousand) 200 180 160 140 120 Jan-10 Jan-08 Jan-09 May-10 Sep-09 Nov-09 Jul-08 Sep-08 Nov-08 Jul-09 Mar-10 Mar-08 Mar-09 May-08 May-09 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2008 175 176 166 182 191 201 196 190
Slide 40: Positive Rate Trend (subject to uncertainties)
Positive Rate Trend (subject to uncertainties) CSAV Group Container Business Rate Index per Teu Evolution 2,200 2,000 1,800 Freight (US$) 1,600 1,400 1,200 1,000 Jan-10 Jan-08 Jan-09 Sep-09 Nov-09 May-10 Jul-08 Sep-08 Nov-08 Jul-09 Mar-10 Mar-08 Mar-09 May-08 May-09 Jan Feb Mar Apr May Jun Jul Aug S
Slide 41: Significant Share's Liquidity
Significant Share’s Liquidity On average, every month around 34 million CSAV shares are traded, which represents 3.8% of the total shares of the company. Monthly Traded Volume of CSAV Shares Monthly Traded Volume (millions) 10% 140 9% 120 8% % of Total Shares 100 7% 6% 80 5% 60 4% 40 3% 2% 20 1% 0 0
Slide 42: Warnings and Risks
Warnings and Risks • The warnings and risks publicly disclosed in shareholders’ meetings and previous financial statements are reiterated. Pág. 42
Slide 43: Important
Important The content of this presentation has been extracted from local and external sources, which even though are acknowledge as trustworthy and are identified along the presentation, they have not been independently verified by CSAV, whom therefore does not take the responsibility for it. This p
Slide 44: Many Thanks
Many Thanks Pág. 44
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