BUNKER FUEL SURCHARGE

Our bunker clause operates on the principle that it shares the fluctuations in bunker costs with our customers. To maintain stability towards our customers, practical changes in surcharge are applied only in time intervals of minimum 4 weeks and only when the change in surcharge is minimum 1,0 percentage units. The change in Bunker Fuel Surcharge will be announced 14 days before each change.

According to the MARPOL Annex VI regulation, the maximum allowed sulphur content in the fuel oil for vessels operating in the Baltic, the North Sea and the Channel will be 1,0 % with effect from 1 July 2010. The maximum allowed sulphur content for marine fuels at ports has already been reduced to 0,1 % as from 1 January 2010, which in practice means our vessels use Marine Gas Oil or Marine Diesel Oil during their port stays inside the emission controlled area. With effect from 1 July 2010 the practical restriction for marine fuels used at sea is that only fuel oil with maximum sulphur content of 1,0 % can be used by our vessels.

Due to the aforementioned changes in the regulations, we have adjusted our Bunker Fuel Surcharge scale and will simultaneously change over to monitoring Bunker World quotation in our Bunker Fuel Surcharge. The reference price is the daily mean market price of LSFO 380 (1,0 %) delivered in Rotterdam.

In order to simplify the invoicing procedure, a separate MARPOL surcharge will not be charged anymore, as it will be included in the new Bunker fuel surcharge according to the new follow-up practice.

The new Bunker Fuel Surcharge valid as from July 1 2010 will be 39,1%.

Your contact person will provide you additional information upon request.

TRANSFENNICA LTD