FMC OKs East Coast Gateway Terminal Agreement; Georgia and Virginia to Begin Discussions

April 10, 2017

Georgia Ports Authority
Contact: Robert Morris, Senior Director of Corporate Communications
(912) 964-3855 / Office
(912) 657-4220 / Cell
rmorris@gaports.com

The Port of Virginia
Contact: Joseph Harris
Senior Director, Media Relations & Spokesperson
(757) 683-2137 / Office
(757) 675-8087/ Cell
jharris@portofvirginia.com

Joint News Release

WASHINGTON, D.C. – The federal government on Friday gave its approval to an innovative agreement
that allows the Georgia Ports Authority (GPA) and the Virginia Port Authority (VPA) to begin
discussing ways the two ports can share information in certain operational areas to position
themselves as the U.S. East Coast’s leading gateways for containerized cargo.

A joint application to proceed with development of the “East Coast Gateway Terminal Agreement” was
filed by the ports on Feb. 24. The application set into motion a 45-day review period — including
a 12-day public comment period — by the Federal Maritime Commission (FMC). The approved agreement encourages the exchange of information and best practices in five areas of operational and supply chain efficiencies, safety, communications and customer service. The five areas include:

  • Cargo handling practices and terms, gate operations and access, turn-times, staffing and
    infrastructure.
  • Joint or independent acquisition, utilization and best practices relating to operating systems
    and equipment including metrics relating to the repair and use chassis and containers.
  • Joint or independent acquisition and use of marketing materials for ocean carriers, alliances,
    shippers, beneficial cargo owners (BCOs) and ocean transport intermediaries.
  • Commercial opportunities regarding carriers.
  • Acting as one, the GPA and VPA can meet and exchange operational information and performance
    criteria with carriers, shippers and other marine terminal operators.

The agreement does not cover:

  • Discussions regarding purchase or lease prices for containers or chassis.
  • It prohibits the ports from entering into agreements on rates, charges, terms or conditions on
    containers or chassis without filing an agreement with the FMC.
  • Joint discussions that lead to an agreement under the Shipping Act must be filed with the FMC.

“Our industry is changing rapidly and as a result increased collaboration between ports is
necessary to provide the service excellence our customers expect and deserve,” said Griff Lynch,
GPA’s executive director. “It is clear that both Georgia and Virginia are East Coast gateway ports
and this step further allows us to create jobs, economic development and improve safety. I would
like to thank our respective employees and partners in the ILA as we move forward together.”

“The agreement enables Georgia and Virginia to work together to find ways to become more efficient
and effective, which will benefit the citizens of our respective states, as well as shippers and
the carriers,” VPA CEO and Executive Director John Reinhart said. “We are making significant investments at our respective ports to handle the larger vessels and cargo volumes coming to the East Coast. Now we will begin discussing about how to best leverage these assets, collectively and position
Georgia and Virginia as the East Coast’s primary cargo gateways.”

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About Georgia Ports Authority
Georgia’s deepwater ports and inland barge terminals support more than 369,000 jobs throughout the
state annually and contribute $20.4 billion in income, $84.1 billion in revenue and $2.3 billion in
state and local taxes to Georgia’s economy. The Port of Savannah handled 8.2 percent of the U.S.
containerized cargo volume and 10.3 percent of all U.S. containerized exports in CY2015.

About The Port of Virginia
The Virginia Port Authority (VPA) is a political subdivision of the Commonwealth of Virginia. The
VPA owns and through its private operating subsidiary, Virginia International Terminals, LLC (VIT),
operates four general cargo facilities Norfolk International Terminals, Portsmouth Marine Terminal,
Newport News Marine Terminal and the Virginia Inland Port in Warren County. The VPA leases Virginia International Gateway and Richmond Marine Terminal. In fiscal year 2013, The Port of Virginia provided more than 374,000 jobs and generated $60.3 billion in total economic impact throughout the Commonwealth.