Vopak : E.O.S. aligns organization with difficult business environment

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Rotterdam, the Netherlands, 16 April 2014

Royal Vopak announces that Vopak E.O.S., the joint venture in Tallinn, Estonia in which it holds a 50% participation, has informed its stakeholders by a press release about the initiative to re-align the organization as a response to changes of the marketplace over the last few years. As previously  announced in Royal Vopak's recent press releases (HY1 2013, Q3 2013 Trading update, and FY 2013), the Vopak E.O.S. joint venture results are affected by a difficult business environment. Please find attached the Vopak E.O.S. press release.

On April 23rd 2014, Vopak will inform the market about its first quarter 2014 results via a Trading Update.

Tallinn, Estonia, 16 April 2014

Vopak E.O.S. initiates an alignment of the organization with difficult business environment.

"Over the past few years, the difficult business environment and increased competition from new Russian facilities have impacted throughput volumes at our terminals," said Arnout Lugtmeijer, CEO of Vopak E.O.S. "At the same time, we have been able to promote the technological and logistical advantages of our facility to a broader group of customers, diversifying the cargo base which is now being increasingly delivered to the terminal by vessels. We have therefore initiated the process to align our organization with these developments."
"This process includes re-locating and reducing staff where appropriate, decreasing overheads and optimizing both our maintenance costs and the capital expenditures at our terminal facilities without compromising on the high safety and service levels that Vopak E.O.S. is known for and which are appreciated and valued by our customers," Lugtmeijer said.

The process of re-aligning of our operations will be implemented in the course of 2014.

As the largest independent oil products terminal operator in the Baltic region, Vopak E.O.S. continues to actively seek new business opportunities to maximize the efficient use of its premium terminal infrastructure.

Vopak E.O.S. operates four modern terminals - Termoil, Trendgate, Pakterminal and Stivterminal - with a total storage capacity of 1,026,000 cbm. Vopak E.O.S. terminals, which are directly connected to the international railway infrastructure, are located in the port of Muuga, Estonia, within the Port of Tallinn. The proximity of Russia and the infrastructure of the Port of Muuga enable Vopak E.O.S. to offer opportunities for sea transportation of oil products from Eastern Europe to Western Europe, America and Southeast Asia. Its wholly owned rail subsidiary E.R.S. manages all the company's railway transportation and related logistics services in Estonia.
Vopak E.O.S. is a joint venture of Royal Vopak and Global Ports Investments.