Proposal of projects for students Reykjavik University | March 2017

EIMSKIPAFÉLAG ÍSLANDS HF.

Niche player in transportation in the North Atlantic

EIMSKIP AT A GLANCE

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Liner services in the North Atlantic and

worldwide freight forwarding services

Revenue 2016 EUR 514 m

Market Cap EUR 506 m

as at 9 March 2017

60 own offices and 69 associates

in a total of 48 countries

21 vessels on five routes

in the North Atlantic

1,700 employees in

20 countries

International network with 60 own offices and 69 associates in a total of 48 countries

OFFICES, ASSOCIATES AND EMPLOYEES

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10

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IcelandEurope and North AmericaAsiaAfrica and South America

898 663

142

IcelandEurope and North AmericaAsia

60 own offices in 20 countries 69 associates in 40 countries 1,703 employees

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IcelandEurope and North AmericaAsiaSouth America

Liner services in the North Atlantic and international forwarding services

BUSINESS SEGMENTS

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� The core of the company’s operations

� Eimskip’s home market includes Iceland, the Faroe Islands, Norway, Newfoundland and Labrador

� 21 vessels in operation

� Port operations � Chilled and cold storage facilities � Warehousing � Trucking and distribution � Air-freight services � Agency services

Liner services

� Main focus on reefer forwarding but general cargo is growing � Efficient system based on a network of 60 own offices in 20 countries � Strong cooperation with the large deep-sea lines and 69 associates in 48

countries

Forwarding services

Revenue by segment Geographical split of revenue

21 vessels in operation, 12 own and 9 chartered

THE VESSEL FLEET

5 Own Vessel

Chartered Vessel

BLUE LINE

GREEN LINE

GODAFOSS Built 1995 TEU 1,457 GT 14,664

DETTIFOSS Built 1995 TEU 1,457 GT 14,664

YELLOW LINE

LAGARFOSS Built 2014 TEU 875 GT 10,106

BAKKAFOSS Built 2010 TEU 880 GT 9,983

RED LINE

ICE STAR Built 2008 TEU 698 GT 7,545

ICE MOON Built 2008 TEU 698 GT 7,545

BLIKUR Built 2003 TEU 505 GT 4,454

LÓMUR Built 2001 TEU 505 GT 4,454

SKÓGAFOSS Built 2007 TEU 698 GT 7,545

REYKJAFOSS Built 1999 TEU 712 GT 7,541

GRAY LINE

ORANGE LINE

HOLMFOSS Built 2007 Reefer (bulk/TEU24) GT 3,538

VIDFOSS Built 1990 Reefer (bulk) GT 3,625

OTHER OPERATIONS IN THE NORTH ATLANTIC

POLFOSS Built 2008 Reefer (bulk/TEU24) GT 3,538

SVARTFOSS Built 2005 Reefer (bulk/TEU48) GT 2,990

LANGFOSS Built 1991 Reefer (bulk) GT 3,625

STIGFOSS Built 1990 Reefer (bulk) GT 3,625

NORDVÅG Built 1979 Reefer (bulk/TEU44) GT 2,854

LAXFOSS Built 1995 Bulk cargo GT 1,682

HERJÓLFUR Built 1992 Ferry GT 3,354

BALDUR Built 1979 Ferry GT 1,677 SÆRÚN Built 1978 Ferry GT 194

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60 own offices and 69 associates in a total of 48 countries

GLOBAL NETWORK

Eimskip founded in 1914

OVER HUNDRED YEARS OF EXPERIENCE

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DIVISION OF WORK

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PROJECTS

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PROPOSAL OF PROJECTS

1. E – COMMERCE

2. CONTAINER STOCK MANAGEMENT

3. REFURBISHING OF CONTAINERS AND PALLETS

4. TUNNEL TO THE WESTMAN ISLANDS

5. HEALTH AND WELLBEING

6. SOCIAL MEDIA

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� Main objective:

� To seek if there are more opportunities for Eimskip in the E- Commerce market in Iceland particulary, both towards Eimskip on imported and exported cargo in and out of Iceland and also regarding warehousing and distribution in Reykjavik and the rest of the country. One „stop shop“ for retailers using Eimskip for ocean transport or air, custom clearance, inventory control and distribution.

� Emphasizing:

� Analyze the market as it is today

� Eimskips/ TVG position on the market

� Integration to Eimskip´s transportations network regarding both air and ocean, warehousing and distribution

� How can we customize our system

� Best IT solutions in the market for monitoring the setup and for track and trace of shipments

E- COMMERCE

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� Main objective:

� To look into finding the best available container stock management program with focus on reduced cost, good inventory control, good track and trace and much better administrative capabilities.

� Emphasizing:

� To evaluate Eimskip´s position

� Map Eimskips inventories

� Map Eimskips total cost

� Purchase vs lease

� System to control

CONTAINER STOCK MANAGEMENT

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� Main objective: � A lot of containers and pallets are being scrapped today and this project

is about the idea to refurbish these two items containers and palltes to be re-used for the good of the environment

� Emphasizing: � Possible usage of containers and pallets

� Container: Housing, storage, restaurants, growing vegetables etc � Pallets: Furniture, wood floors etc

� Innovation, list of all possibilities � How can it connect with our Social Responsibility

� https://www.google.is/?gws_rd=cr&ei=btzcWITAE4XXarXAgZAH#q=container+houses&*

� https://www.youtube.com/watch?v=_zSVSIWmSkY

� https://www.google.is/search?q=pallets+furniture&espv=2&source=lnms&tbm=isch&sa=X&ved=0ahUKEwj_9bO7gv7SAhVJF8AKHVp6Dk0Q_AUIBigB&biw=1137&bih=735

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REFURBISHING OF CONTAINERS AND PALLETS

� Main objective:

� To explore the opportunities to build a tunnel from Landeyjar to Westman Islands

� Emphasizing:

� Building a study on previously published reports

� Estimated cost 32 -120 billion ISK

� Estimated traffic 1 M people and 300.000 cars

� Study of possible traffic of cars and people

� Look at different options

� Estimated cost / finanching / timing

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TUNNEL TO THE WESTMAN ISLANDS

� Main objective:

� Analyse and come up with suggestions with health and wellbeing strategy, i.e. how to make health and wellbeing as a part of the company´s culture.

� Emphasizing:

� Short term actions vs. Long term strategy

� Measurements

� Main elements of health and wellbeing culture

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HEALTH AND WELLBEING

� Main objective:

� Analyse of the opportunities in using social media, compared to similar companies worldwide.

� Emphasizing:

� Benefits

� Measurements

� Social Media strategy for Eimskip

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SOCIAL MEDIA

DISCLAIMER

Information contained in this presentation is based on sources that Eimskipafélag Íslands hf. (“Eimskip“ or the ”Company“) considers reliable at each time. Its accuracy or completeness can however not be guaranteed.

Copyright of information contained in this presentation is owned by Eimskip. This presentation, including information contained therein, may not be copied, reproduced or distributed in any manner, neither wholly nor partly.

This presentation is solely for information purposes and is not intended to form part of or be the basis of any decision making by its recipients. Nothing in this presentation should be construed as a promise or recommendation. Eimskip is not obliged to provide recipients of this presentation any further information on the Company or to make amendments or changes to this publication should inaccuracies or errors be discovered or opinions or information change.

Statements contained in this presentation that refer to the Company’s estimated or anticipated future results or future activities are forward-looking statements which reflect the Company’s current analysis of existing trends, information and plans. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results to differ materially depending on factors such as the availability of resources, the timing and effect of regulatory actions and other factors. Eimskip undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this presentation. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this presentation. All forward-looking statements are qualified in their entirety by this cautionary statement.

By the receipt of this presentation the recipient acknowledges and accepts the aforesaid disclaimer and restrictions.

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