CP Ships Has Good 1Q; Rich Named New Chairman

CP Ships Limited announced unaudited operating income of $29 million for the first quarter 2005, more than double first quarter 2004. Net income was $15 million against $3 million. The quarterly dividend has been increased from $0.04 to $0.06 per share.

The Board of CP Ships Limited also announced that it intends to appoint Nigel Rich as non-executive Chairman. It also confirmed that Ray Miles will continue to exercise overall executive responsibility as acting Chief Executive Officer until the appointment of a new CEO.

"I am delighted that Nigel has agreed to become Chairman. We will benefit greatly from his experience," said Ray Miles. "And I will support him and the company fully until I step down as a director of CP Ships after a new CEO is on board, " said Ray Miles.

Nigel Rich has been a non-executive director of CP Ships since it was publicly listed in 2001 and is currently Chairman of Exel, the UK-listed global logistics business. He is also a director of Pacific Assets Trust and was formerly Chairman of Hamptons Group, a real estate services company, and has previously been a director of Granada and Harvey Nichols. He spent 20 years with the Jardine Matheson group in Asia and was its CEO from 1989 to 1994.

Ray Miles was CEO of CP Ships from 1988 to May 2004 when he became Chairman, but resumed executive responsibility in December 2004 when his successor as CEO resigned. He will chair the Annual Meeting of Shareholders on 10th May in Toronto.

If elected as a director at the Annual Meeting, Mr Rich would become Chairman immediately thereafter.