CP Ships Focuses on U.S.

CP Ships yesterday re-flagged the 3200 teu CP Yucatan to US flag and changed its name to CP Yosemite in recognition of the ship's enrolment in the US government's new Maritime Security Program which comes into effect 1st October 2005 and under which CP Ships is expanding its participation compared with the previous MSP. This week, CP Ships also opened a new office in Washington, D.C. to ensure more efficient management of its US-flag business.

CP Yosemite is one of five vessels operating on the TransAtlantic which CP Ships is committing to MSP and which will be named after US national parks. In due course, the remaining four ships will be renamed CP Everglades, CP Denali, CP Shenandoah and CP Yellowstone.

CP Ships' new MSP contract represents an increase over its previous three-ship MSP participation. Under the new contract, government subsidy of $145 million is provided over the next ten years to offset the cost of operating five ships under US flag.

MSP was created to ensure that in times of war or national emergency the Department of Defense has ready access to a fleet of modern and efficient US-flag ships like CP Yosemite. Built in 2003, the ship is geared, which means it is equipped with onboard cranes so it is not reliant on shore-side equipment to load and unload. The new Washington office is located at 1001 Pennsylvania Avenue.