1. FY02 Financial Performance
Financial Highlights (US$)
FY02
FY01
Change
Turnover
$4,642 m
$4,730 m
(2%)
Core EBITDA
$241 m
$339 m
(29%)
Depreciation & Amortization ($320 m)* ($261 m)
FY02 Financial Performance
Core EBIT
($79 m)
$77 m
n.m
Net Interest Expense ($127 m) ($99 m)
Tax ($15 m) ($20 m)
Profit (Loss) before EI**
($221 m)
($42 m)
426%
Exceptional Items ($109 m) ($14 m)
Net Profit (Loss)
($330 m)
($56 m)
486%
* $7m of amortization has been classified under exceptional items
** EI = Exceptional Items

2. FY02 Financial Performance
Exceptional Items (US$)
FY FY01
($31 m)
($17 m)
($36 m)
($8 m)
n.a.
$22 m
($3 m)
($33 m)
1. (Loss)/Gain from asset disposal
Provisions for diminution in assets
Restructuring and severance costs
Additional write-down of goodwill
US West Coast disruption
Others
Total ($109 m) ($14 m)
FY02 Financial Performance

3. FY02 Financial Performance FY01 Turnover Breakdown:
Turnover by Business Units
Total Turnover : US$4,642 million, down 2%
Chartering 7%
Others 1%
FY02 Financial Performance
APL Liner
74%
FY01 Turnover Breakdown:
(Total = US$4,730 m)
APL Liner : 76%
APL Logistics : 15%
Chartering : 8%
Others : 1%
APL Logistics
18%

4. FY02 Financial Performance
Turnover by Business Units (US$)
FY02 FY01 Change
APL Liner
APL Logistics
Chartering
Others
Total Turnover
$3,425 m $3,592 m (5%)
$813 m $723 m 12%
$343 m $359 m (4%)
$61 m $56 m 9%
$4,642 m $4,730 m (2%)
FY02 Financial Performance

5. FY02 Financial Performance
Core EBIT by Business Units (US$)
FY02 FY01 Change
APL Liner
APL Logistics
Chartering
Others
Total Core EBIT
($73 m) $19 m n.m.
($22 m) ($16 m) 38%
$9 m $85 m (89%)
$7 m ($11 m) n.m.
($79 m) $77 m n.m.
FY02 Financial Performance

6. Operations Review APL Profit & Loss Summary (US$) FY02 FY01 Change
Turnover
$3,425 m
$3,592 m
(5%)
Core EBITDA
$134 m
$189 m
(29%)
Operations Review
Depreciation & Amortization ($207 m) ($170 m)
Core EBIT
$19 m
($73 m)
n.m

7. Operations Review APL: Volume Handled (‘000 FEUs) Region Americas
Trans-Pacific
Latin America
Europe
Asia Europe
Transatlantic
Asia / Middle East
Total
FY02
718
600
118
361
278 83
421
1,500
FY01
636
538 98
351
284 67
423
1,410
Change
13%
12%
20% 3%
(2%)
24% - 6%
Operations Review

8. Operations Review APL: Average Freight Rates (US$/FEU) Region Americas
Europe
Asia / Middle East
Total
FY02
$2,608
$1,888
$1,389
$2,092
FY01
$2,999
$2,056
$1,465
$2,304
Change
(13%)
(8%)
(6%)
(9%)
Operations Review

9. APL Average Freight Rates
APL : Rates Development
Despite a recovery in 2H02, rates still below average 2001 level
APL Average Freight Rates
1,800
2,000
2,200
2,400
2,600
2,800 1Q 99 2Q 3Q 4Q 00 01 02
Period
US$/Feu
Operations Review

10. Operations Review APL: Cost / FEU TREND ANALYSIS FOR COST (INDEXED)
100.0
91.0
92.4
83.7
96.6
86.2
84.6
83.6
77.3
70.0
80.0
90.0
110.0
FY98
FY99
FY00
FY01
FY02
Cost/feu
Cost (excl bunker) / feu
Operations Review

11. Operations Review APL: FY02 Cost Savings
Cost savings achieved in FY02 – in excess of US$200 m
Details
G&A - organisation rationalisation, cutback on spending
Operations - contract reductions, efficiency and productivity improvement
Network - reconfiguration, tonnage reduction
Operations
23%
G&A
19%
Operations Review
Network
58%

12. APL Network Capacity & Utilisation
APL carried 6% more volume with 4% less capacity*
APL Network Capacity & Utilisation
36,000
100%
97%
Weekly Capacity (In Teus)
97%
Util. %
95%
35,000
95%
90%
34,000
90%
88%
89%
Operations Review
85%
85%
33,000
85%
32,000
80%
31,000
75%
30,000
70%
29,000
65%
28,000
60%
2001Q1
2001Q2
2001Q3
2001Q4
2002Q1
2002Q2
2002Q3
2002Q4
* Figures based on headhaul leg of main linehaul services

13. Operations Review APL Liner: FY02 Performance Summary
Volume carried increased 6% (1.5m TEUs) but turnover fell 5% to US$3,425m, a result of 9% decline in average freight rates
Transpacific and Asia-Europe widened losses in FY02, a reflection of the unsustainable rates. Freight rates down 14% and 10% respectively
Latin America & Transatlantic reported healthy volume growth of 20% and 25% respectively, due to new services or upsizing of ship capacity
Despite rates recovering in 2H02, freight rates are still below 2001 average
Cost per FEU (excl bunker) reduced by 7% as a result of further savings on both fixed and variable cost. However, reduction insufficient to compensate for freight rates decline
Operations Review

14. Outlook APL: Focus for 2003 Target a return to profitability in FY03
Focus on:
i) Cost savings initiatives
Operating savings
Further G&A reductions
ii) Yield management
Optimise utilisation of existing resources
iii) Rate increases
Restore freight rates to more sustainable level
Outlook

15. Outlook APL: FY03 Cost Savings Target
Targeting further cost savings of US$ m in FY03.
Details
G&A
Operations –
Cargo handling/terminal
Land transportation
Equipment management
Network – service rationalisation, vessel efficiency
Yield management – optimisation in cargo and customer mix
Operations
50%
Network
10%
G&A
14%
Yield Management
26%
Outlook

16. Container Trade Demand and Supply 1990-2004F
APL: Global Demand & Supply
Demand/Supply Growth expected to improve in 2003
Container Trade Demand and Supply F 0% 2% 4% 6% 8%
10%
12%
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003F
2004F
Growth %
Container Trade Growth
Capacity Growth
Outlook
Source : Clarksons/Drewry/MDS

17. APL: Outlook
Steady volume growth with further improvements in freight rates. Early signs of recovery
Asia Europe – 1 Jan 03, further rate increases
Trans-Pacific – early indication positive
Industry Demand/Supply balance expected to improve in 2003
Aggressive cost reduction programmes will lower breakeven point
Uncertainty in world economic and political environment may slowdown recovery
The shipping industry will continue to face a difficult environment in FY03
Outlook

18. FY02 Financial Performance
APL Logistics: Profit & Loss Summary (US$)
FY02
FY01
Change
Turnover
$813 m
$723 m
12%
Core EBITDA
$15 m
$12 m
25%
Depreciation & Amortization ($37 m) ($28 m)
FY02 Financial Performance
Core EBIT
($22 m)
($16 m)
38%

19. Operations Review APL Logistics: Turnover Breakdown
By Region (Total = US$813 m)
Operations Review
FY01 Breakdown :
(Total = US$723 m)
Americas : 80%
Asia & Middle East : 16%
Europe : 4%

20. Operations Review APL Logistics: FY02 Performance Summary
Revenue growth lower than expected due to:
Weak economic conditions and slow recovery of global economy
Delays in new business implementations & less new customers
Poor performance of direct logistics operations, divestment in 2H02
Re-organisation of Logistics structure
Impairment associated with GATXL acquisition primarily related to direct logistics operations
Continued investment in Europe infrastructure
Operations Review

21. Outlook APL Logistics: 2003 Outlook
Target a return to profitability in FY03
Focus on the existing book of business: core business of warehousing, transportation management & consolidation
Accelerate strategy to introduce customers to Integrated Supply-Chain solutions
Expand international services to represent a larger percentage of total revenues:
Diversify revenue stream
Expand integrated product offerings
Outlook

22. Outlook APL Logistics: 2003 Outlook
Create strong cost and margin improvements through:
Cost containment initiatives
Identify and resolve non-contributing elements of the business
Develop strong yield management capabilities
Stronger controls on solutions engineering and implementation.
Outlook

23. FY02 Financial Performance
Chartering: Profit & Loss Summary (US$)
FY02
FY01
Change
Turnover
$343 m
$359 m
(4%)
Core EBITDA
$68 m
$127 m
(46%)
Depreciation & Amortization ($59 m) ($42 m)
FY02 Financial Performance
Core EBIT
$9 m
$85 m
(89%)

24. Operations Review Chartering: FY02 Performance Summary
Significantly lower charter rates resulting from a relatively depressed tanker market
Average TCE rates per day (US$) :
FY02
FY01
Change
Operations Review
Aframax
$21,050
$29,020
(27%)
VLCC
$22,120 -
n.m.
Product
$13,740
$21,070
(35%)
Addition to fleet
2 VLCCs in 2002
1 owned & 3 chartered-in Aframaxes via MTLP acquisition

25. Outlook Chartering: 2003 Outlook
Prestige accident has increased demand for double- hulled Aframax tankers and led to strong recovery in chartering rates
Rate improvements expected in FY03
Investment review on AET is still on-going
Review of divestment opportunities for NAS, after completion of AET review
Overall expectation is for Chartering division to improve on its 2002 performance
Outlook

26. Outlook NOL Group: 2003 Outlook
Focus on returning NOL Group to profitability
Further cost-cutting measures within Group and business units through :
Savings in operational costs
G&A reductions
Review opportunities to unlock or exit from non-core business
Strengthen balance sheet
Outlook