NYK and YAS to Integrate Logistics Businesses

Logistics Insight Asia - Top Story, 3/3/2010

Nippon Yusen Kabushiki Kaisha (NYK) and Yusen Air & Sea Service Co (YAS) have been in discussions toward the reorganization and integration of the logistics businesses of the two companies (hereinafter the “Integration”).

Both companies have announced that a Letter of Intent (LOI) for the integration, based on the results of studies and discussions to date, has been signed.

On or around October 1, 2010, the logistics business of NYK Logistics (Japan) Co
(NLJ), a consolidated subsidiary of NYK, will be integrated into YAS through an
absorption-type de-merger or business transfer with cash consideration. The specific scheme will be further discussed at the Steering Committee for the Integration of Logistics Businesses, and the details will be defined in the definitive agreement that is planned to be executed around May this year.

Upon completion of the integration, YAS will change its trade name to Yusen Logistics Kabushiki Kaisha and the newly integrated company (Yusen Logistics Co) will remain a listed subsidiary of NYK.

The two companies’ logistics businesses outside Japan will be integrated gradually from around April 2011 to March 2012, basically through the establishment of joint ventures.

NYK, www.nykline.com