Welcome to N.C. PortsFast Facts

• Two locations serving the Carolinas– Over 300,000 TEUs– Over 4 million tons of general cargo– 600 ship calls a year

• Directly employ 210– Indirectly an additional 1,250

• Financial summary– Annual revenue $55 million– Annual cash generation $14 million– Profit $4.1 million

North Carolina Ports

North Carolina Ports

Ports Support N.C.

9,800+ jobs

26,200+ jobs

1,700+ jobs

2,200+ jobs

10,400+ jobs

13,700+ jobs

North Carolina jobs provided directly or indirectly by the ports statewide76,700 +

Annual tax revenues gained through the ports for the statewide economy$707 million +

Annual economic contribution to the state’s economy associated with goods moving through N.C. Ports$14 billion +

Economic Contribution of the North Carolina PortsInstitute for Transportation Research and Education, N.C. State University

12,500+ jobs

Port of Morehead City• Bulk, breakbulk, roll-on roll-off

• 128 acres, plus an additional 150 acres on

Radio Island

• Navigation channel: 45’ ft. M.L.L.W.

• 9 Berths with 5,366 ft. of wharf frontage

• One bridge crane, two gantry cranes, and one

mobile crane

• 170 ship calls a year

• More than 1 million sq. ft. of storage space

• Rail served by Norfolk Southern

• Possible new crane order

Fast, Efficient, & Low Cost• Vessel reliability• Crane productivity• Gate productivity• Favorable rates• Overweight permits

North Carolina Ports

North Carolina Ports

Port of Wilmington

Fast, Efficient, & Low Cost• Vessel reliability• Crane/Gate productivity• Favorable rates• Overweight permits • No congestion

• Containers, bulk, breakbulk, roll-on roll-off

• 284 acres

• Navigation channel: 42.5’ ft., tide of 4’ ft.

• Accommodate 1,165 ft. LOA & 158 ft.

beam vessels

• 600,000 TEU annual thruput capacity –

abundant room to grow

• 525 ship calls a year

• NC Ports employees perform terminal

operations

• On dock intermodal rail (CSX)

• Refrigerated container on-terminal

capability (200+ plugs)

Best in Class ProductivityLand & waterside lack of congestion

Vessel productivity• Last 12 month average: 44 net crane moves/hr.

Gate turn time productivity• Last 12 month dual truck turn time: 32 minutes• Last 12 month single truck turn time: 19 minutes

• Best terminal rates on U.S. East Coast; flexible contract terms

• Port of Wilmington gateway delivers millions of dollars in lower truck costs

• Superior customer service

Port of Wilmington

U.S. Ports

52% Exports 48% Imports

59% Imports41% Exports

Balanced Trade for a Growing Future

North Carolina Ports

Port of Wilmington Container Services – October 2016

North Carolina Ports

ICL • North Europe Service• 2,800 TEU Vessels

SeaLand • Latin America Service• 1,700 TEUs

SeaLand • Latin America Service• 1,300 TEUs

Port of Wilmington Container Services Today

North Carolina Ports

THE Alliance - Transpacific • EC2 Weekly Service• 8,500 TEU Vessels

2M Alliance - Transpacific• TP10/Amberjack Service• 4,500 TEU Vessels

ZIM – Southeast Asia • Z7S Service• 5,000 TEU Vessels

ICL - Transatlantic• North Europe Service• 2,800 TEU Vessels

SeaLand – Latin America• SAE Service• 1,700 TEUs

SeaLand – Latin America• Atlantico Service• 1,300 TEUs

NEW SERVICECrowley – Latin America• Starts November 28

Investing for North Carolina’s Future

Port of Wilmington = Big Ship ReadyTurning Basin Expansion Phase One Complete

Evergreen Ever LadenSept. 10, 20168,500 TEUs1,099 ft. long150 ft. wide

K Line Helsinki BridgeMay 12, 20178,500 TEUs1,098 ft. long150 ft. wide

Yang Ming UnityAug. 7, 20168,200 TEUs1,101 ft. long140 ft. wide

MSC MaureenOct. 13, 20166,750 TEUs985 ft. long131 ft. wide

Port of Wilmington Infrastructure Investments• Turning basin expansion phase one

– COMPLETED

• Turning basin expansion phase two – UNDERWAY

• Berth 8 replacement project– UNDERWAY

• Purchase 3 new ultra-Panamax container cranes – ORDERED

• 2 CRANES ARRIVE APRIL 2018

• Capability to operate two post-Panamax vessels simultaneously– MID 2018

• Container yard redesign construction – UNDERWAY

North Carolina Ports

USACE Channel Projects & Air Draft Clearance Restrictions

North Carolina Ports

USACE Channel Deepening Projects Air Draft

Port Current Depth

Approved Depth Total Cost

Total USACE Share

Total State Share

Programmed Balance to Complete

Clearance Restriction

(in feet)

Savannah 42 47 $1,028,730,000 $671,362,500 $357,367,500 $578,751,150 185

Boston 45 48 $656,049,000 $492,037,000 $164,012,000 $211,460,000 None

Charleston 45 52 $530,000,000 $230,000,000$300,000,000 $212,500,000 186

Wilmington 42 TBD Not identified 171

Jacksonville 40 47 Not identified None

Norfolk 50 55 Not identified None

New York 50 50 215

Miami 50 50 None*Savannah and Boston included in FY18 President's budget, Charleston had $17.5M in FY17 USACE Budget, no funds committed in FY18.

THE NEW STANDARD

Cape Fear River Channel Long Term Enhancement

• NC Ports is conducting an official

Feasibility Study with U.S. Army

Corps of Engineers to examine a

host of navigational improvements to

the channel, including deepening and

widening the Cape Fear River basin

• Long-term viability requires

channel improvements

• Neighboring ports well underway

• Air draft restriction must be resolved

North Carolina Ports

North Carolina Ports

Federal Grant Opportunities

North Carolina Ports

CMAQ - Operation assistance under CMAQ is intended to help start up viable new transportation services that will benefit air quality and cover operating costs. • Queen City Express Service – Total project cost: $1.5M, federal award: $1.2M. FY17 – FY19.

STP - FAST Act allows for "infrastructure modifications to facilitate direct intermodal exchange, transfer and access into and out of a port terminal"• Wilmington Intermodal Yard Improvements – Total project cost: $22.2M, federal request: TBD• Charlotte Intermodal Facility – Total project cost: $4M, federal request: TBD

TIGER- Consolidated Appropriations Act, 2017 appropriated $500 million, available through September 30, 2020, for National Infrastructure Investments otherwise known as TIGER grants.• Berth 7 Upgrade – Total project cost: $30.17M, federal request: $12.07M. Notification expected early 2018.• Intermodal Yard Improvements – Total project cost: $22.2M, federal request: $10.4M. Notification expected early

2018.

INFRA - Infrastructure for Rebuilding America (INFRA) discretionary grant program will make approximately $1.5 billion available to projects that are in line with the Administration’s principles to help rebuild America’s crumbling infrastructure• Intermodal Capabilities & Container Yard Improvements – Total project cost: $100.07M, federal request:

$40.63M. Notification expected early 2018. Includes available large project funds for FY17 and FY18

Part of an Integrated Transportation Network

North Carolina Ports

Long Term Considerations(30 years out)

• Rail Network and Connectivity– CCX– Charlotte Intermodal Facility– Wilmington Rail Projects– Morehead City

• Interstate Connectivity– Interstate 74 Wilmington to Charlotte

• Cape Fear & Morehead City Channels– Annual Operations & Maintenance Requirements– Cape Fear Enhancement Projects

North Carolina Ports

MUST INCREASE

RAIL USAGE

Imagine Your Future Here

North Carolina Ports

As we get bigger, the world gets smaller.