TRANSATLANTIC: REPORT FROM THE 2007 ANNUAL GENERAL MEETING OF REDERI AB TRANSATLANTIC
At the Transatlantic Annual General Meeting, ordinary Board members Håkan Larsson (President), Helena Levander, Ulf G Lindén, Christer Olsson, Folke Patriksson (Chairman) and Björn Rosengren were re-elected as proposed. Lena Patriksson-Keller was elected as new ordinary Board member.
As previously, Christer Lindgren represents the trade union, on the Board of Directors.
The Annual General Meeting resolved - as proposed - to pay a dividend to shareholders of SEK 2 per share, with April 30 as record date.
The Annual General Meeting also approved other proposals presented by the Board of Directors including the proposed changes to the Articles of Association, the cancellation of previously repurchased shares and the proposal for new authorization of the Board of Directors pertaining to acquisition and transfer of own shares.
The President's address to the Annual General Meeting
In his address to the Annual General Meeting, President Håkan Larsson summarized the 2006 fiscal year as very profitable for the Transatlantic Group with major marketing and development activities primarily within the European Services division. Håkan Larsson stated that the maritime market continued to perform satisfactorily in 2006 and this contributed to a favorable improvement in the Group's operating profit compared with the preceding year.
The trend for the Icebreaking/Offshore business area was positive, with strong improvement in earnings.
Within the Industrial Shipping business area, the Transatlantic Services division performed satisfactorily, although the earnings level was unsatisfactory, despite an improvement compared with 2006. Earnings for the European Services division were in line with 2005, despite major costly investments in new traffic and increased tonnage capacity within several traffic areas.
The address to the Annual General Meeting also included comments on the report that was presented to the market for the first quarter of 2007. Earnings were significantly higher than for the year-earlier period and amounted to SEK 68 M (18).
The Group demonstrated favorable growth and net sales rose by slightly more than 22%. Particularly strong growth was noted in the European operations, where net invoicing rose by approximately 50%.
Earnings for the Icebreaking/Offshore business area were very strong and significantly exceeded earnings for the preceding year. The Industrial Shipping business area also increased its operating profit with a strong earnings increase in the European Services division, while earnings in the Transatlantic Services division remained unchanged, compared with the preceding year.
On a rolling 12-month basis, the Group's operating profit amounted to SEK 266 M, which corresponds to SEK 8.70 per share after current tax.
Håkan Larsson stated that this result was the highest ever in the Group. In his forecast for the full-year 2007, Håkan Larsson made an upward adjustment to the Group's forecast with expectations of improved earnings, compared with the outcome for 2006.
In his final address to the Annual General Meeting as President of Transatlantic, Håkan Larsson estimated that the forecast for the Group was very favorable for the next few years. Investments within the Industrial Shipping business area are expected to generate continued growth as well as significant earnings contributions, although the Transatlantic Services division must face major challenges before tonnage renewal is implemented. In the Icebreaking/Offshore business area, the market is expected to remain strong with continued positive results in the next few years.
In conclusion, Håkan Larsson stated that the Group is well positioned for the future, and that continued growth and development will be prioritized.
The Annual General Meeting resolved - as proposed - to pay a dividend to shareholders of SEK 2 per share, with April 30 as record date.
The Annual General Meeting also approved other proposals presented by the Board of Directors including the proposed changes to the Articles of Association, the cancellation of previously repurchased shares and the proposal for new authorization of the Board of Directors pertaining to acquisition and transfer of own shares.
The President's address to the Annual General Meeting
In his address to the Annual General Meeting, President Håkan Larsson summarized the 2006 fiscal year as very profitable for the Transatlantic Group with major marketing and development activities primarily within the European Services division. Håkan Larsson stated that the maritime market continued to perform satisfactorily in 2006 and this contributed to a favorable improvement in the Group's operating profit compared with the preceding year.
The trend for the Icebreaking/Offshore business area was positive, with strong improvement in earnings.
Within the Industrial Shipping business area, the Transatlantic Services division performed satisfactorily, although the earnings level was unsatisfactory, despite an improvement compared with 2006. Earnings for the European Services division were in line with 2005, despite major costly investments in new traffic and increased tonnage capacity within several traffic areas.
The address to the Annual General Meeting also included comments on the report that was presented to the market for the first quarter of 2007. Earnings were significantly higher than for the year-earlier period and amounted to SEK 68 M (18).
The Group demonstrated favorable growth and net sales rose by slightly more than 22%. Particularly strong growth was noted in the European operations, where net invoicing rose by approximately 50%.
Earnings for the Icebreaking/Offshore business area were very strong and significantly exceeded earnings for the preceding year. The Industrial Shipping business area also increased its operating profit with a strong earnings increase in the European Services division, while earnings in the Transatlantic Services division remained unchanged, compared with the preceding year.
On a rolling 12-month basis, the Group's operating profit amounted to SEK 266 M, which corresponds to SEK 8.70 per share after current tax.
Håkan Larsson stated that this result was the highest ever in the Group. In his forecast for the full-year 2007, Håkan Larsson made an upward adjustment to the Group's forecast with expectations of improved earnings, compared with the outcome for 2006.
In his final address to the Annual General Meeting as President of Transatlantic, Håkan Larsson estimated that the forecast for the Group was very favorable for the next few years. Investments within the Industrial Shipping business area are expected to generate continued growth as well as significant earnings contributions, although the Transatlantic Services division must face major challenges before tonnage renewal is implemented. In the Icebreaking/Offshore business area, the market is expected to remain strong with continued positive results in the next few years.
In conclusion, Håkan Larsson stated that the Group is well positioned for the future, and that continued growth and development will be prioritized.
For further information, please contact President Håkan Larsson or
Executive Vice President Hans Carlweitz, Tel: +46 (0)304 - 67 47 00