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Customers and Lease Agreements: Baltimore, Milwaukee and Wilmington (DE)

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Mazda North American Operations (MNAO) this September will become the Port of Baltimore’s newest auto customer. Federal Marine Terminals (FMT) will continue to provide terminal and stevedore services at the Port of Milwaukee, under the terms of a lease agreement recently approved by the port’s governing harbor commission. The Diamond State Port Corporation (DSPC) and Dole Food Company announced August 13 that they had reached an agreement in principle by which Dole will continue to use the Port of Wilmington for the next 15 years.  

Baltimore: Mazda to Become Port’s Newest Auto Customer 

Mazda North American Operations (MNAO) this September will become the Port of Baltimore’s newest auto customer. Its five-year contract with auto processor Amports will bring approximately 65,000 vehicles through the port annually from Mazda assembly plants in Japan. The vehicles, including the MX-5 Miata, Mazda 2, Mazda 6, and its CX-5 and CX-9 SUV line, will be handled at the Amports-owned Chesapeake Auto Terminal, creating 450 jobs, including 160 direct jobs.  

"Mazda is honored to call the Port of Baltimore its new home for all of its vehicle imports in the Northeast," said Robert Davis, senior vice president U.S. Operations, MNAO. "The decision for Mazda to move ports makes sense for our business, and we look forward to growing this relationship."  

In 2012, Baltimore’s public and private marine terminals handled 652,000 vehicles, an 18 percent increase from 2011. First half 2013 volumes were up 9.0 percent. More than 1,000 direct jobs at the port are generated by the port’s auto business.

Milwaukee Harbor Commission Approves New Lease with Federal Marine Terminals

Federal Marine Terminals (FMT) will continue to provide terminal and stevedore services at the Port of Milwaukee, under the terms of a lease agreement recently approved by the port’s governing harbor commission. FMT has been the port’s terminal operator for 17 years. The renewed lease assures FMT’s presence at the port for at least five more years and includes an option to renew for an additional five years. 

Each year, FMT serves the dozens of ships that move high-value, break-bulk cargo in and out of Milwaukee. FMT handles a wide range of goods such as steel, heavy machinery and other over-dimensional cargo.

"With new terms incorporated in the renewal, incentives exist for both the port and FMT to increase cargo at the Port of Milwaukee," said Acting Port Director Paul Vornholt.

"The great relationship and commitment between Federal Marine Terminals and the Port of Milwaukee has contributed to the additional five year option to the current lease," said Michel Tosini, FMT’s executive vice president. "Over the next five years, we project steady growth as we continue to collaborate on marketing efforts and resolve to find new mutually beneficial opportunities."

FMT’s parent company, Fednav, also owns Federal Atlantic Lakes Line, which provides liner shipping service between Europe and Milwaukee.

Wilmington (DE): Agreement in Principle to Keep Dole at the Port

The Diamond State Port Corporation (DSPC) and Dole Food Company announced August 13 that they had reached an agreement in principle by which Dole will continue to use the Port of Wilmington for the next 15 years. 

Dole, a Wilmington port user since 1982, leases 52 acres from the DSPC and is its largest customer, importing bananas, pineapples, other tropical and deciduous fruit, and exporting forest products and general cargo. Dole vessels make approximately 52 Wilmington port calls annually.  

The agreement remains subject to further negotiation and approval by the boards of directors of both Dole and the port corporation. If finalized, it would govern Dole’s use of the port for the 15-year term, and give Dole two options for 10-year extensions. It also includes port corporation commitments for capital improvements to meet Dole’s needs. 

"Dole is pleased that we will continue to do business in Delaware for many years to come," said Stuart Jablon, vice president of operations for Dole Fresh Fruit. "The agreement in principle that we have reached will enable Dole to remain competitive and position it well for future growth.

"Dole is a big part of our family," said Port Corporation Executive Director Gene Bailey. "We are grateful for the support of the Governor and the General Assembly, which has allowed us to make the capital improvements we need to make to keep Dole and remain competitive with ports on the Delaware River and throughout the region.

Dole ship working cargo at the Port of Wilmington.
Photo/Diamond State Port Corporation 
 

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