Anchorage Daily News Wednesday, July 11, 1979

Anchorage Daily News Wednesday, June 27, 1979 TOTE officials loqk ahead cautiously Economic doldrums past?

By BRIAN A. HUNTLEY Daily News business editor Alaska may have seen the worst of her economic doldrums, but business executives are still hesi­ tant to predict a major upswing, a senior maritime shipping official said in Anchorage Tuesday. Robert McMillen, president of Totem Ocean Trailer Express (TOTE), noted his firm "will be viewing next year with caution. "We didn't expect the reduction in freight traffic this year, but there are indications things have bottomed out. We still don't see anything that will change the econ­ omy dramatically in the near fu­ ture, and we will be extremely careful (in our business decision­ The Strider Isis, loaded with cargo containers, is ready to sail fr·om Port of Anchorage making)," he added. Tuesday. The TOTE president and three other corporate directors were in Alaska Tuesday for the company's Totem Ocean Trailer Express, Inc. (TOTE) board members, from left, William Woods, Ship makes special stop annual board meeting at the Cap­ William Maling, Robert McMillen, and Dudley Cooke pause between executive sessions at tain Cook Hotel. Tuesday's session the Captain Cook Hotel. The TOTE officials were in Anchorage Tuesday for an annual ' completion last year in a Japan~se ship;Yard. "I've marked TOTE's first corporate board meeting. By BRIAN A. HUNTLEY sailed on a lot of ships - ore earners, fretghters, and meeting in the state. Daily News business editor The board members included Board member William Maling freight rates in line with rising practical with only two ships," he Sea-Land Service Co.'s container ship, Strider Isis, container ships but these new ships are about th~ best," the captain said with a crisp British inflection. McMillen, Dudley P. Cooke, Wil· responding to a question on Sea­ costs. And historically, we have noted. quietly slipped out of Anchorage Tuesday after a Land's competition, "I hope the always asked for increases at mid­ Mating added, "Going interna­ "The ship generally takes about s~ven and a_half liam Mating, and William S. special cargo stop. days from Kodiak to Yokohama - a little longer if we Woods. Leighton H. Thetford, company remains active in the year." tional would be such :. drastic step The 41Q-foot-long ship docked in Anchorage Mond~y have rough weather," Judge, a native of Newcastle, TOTE's Anchorage general manag­ Alaska trade. It's healthy for Alas­ Dudley P. Cooke, general man­ for us- we're a short haul opera­ to pick up a load of refrigerated vans packed wtth er, and Tom Barry, Alaska market­ ka to have two competitive car­ ager of corporate systems for the tion - we just don't have the England, said. frozen seafood. The Isis will sail to Cordova before "Yokohama has a fast operation. The ship can dock ing manager, also attended the riers. And although they have dif· Sun Co. and a TOTE director, capabilities." continuing its voyage to Japan. . corporate meeting. ferent ships, their cost structure is refused to corrunent on the recerit The directors were forced to Marv Buchanan, Sea-Land sales at 8 in the morning, be Wlloaded and loaded aga~, and ma~ager, ~td, away from the dock by 4 in the afternoon. That s good In the morning, the directors similar to ours." anti-trust case pending against the cancel a scheduled visit to TOTE "We broke from our normal Kodiak to Japan routine, met with Anchorage mayor, McMillan then noted both TOTE firm's competitor, Sea-Land. "We facilities in Fairbanks and Kenai for everyone but the crew. because we had so much cargo in Anchorage - it's "It's money every time you dock, so the faster a George Sullivan, and Port Director, and SeaLand were hit with infla­ cannot discuss a matter under liti· due to bad weather. "We just unusual, but we had to move all the loaded vans here.~' William McKinney. McMillan char­ tionary price hikes leading to the g:ation, it just wouldn't be proper," couldn't fly in the storm," McMil­ port can handle the cargo and you can be outw~rd The containers are removed from tractor-tratler bound, the better. Sure you have to stop for repatrs, acterized the breakfast as "intro­ need for an 8 percent rate increase he said. lan said. Asked if TOTE planned to units by crane, and stacked on th~ ship's deck. Each ductory and pleasant." But he said, request. "Our costs have gone up in Board member Maling discount­ enlarge operations in those areas, unit has a self-contained refrigeration system powered but it's better to sail," Jud,ge said. . . . "there weren't any specific discus­ all areas - trucking,- drayage, ed rumors TOTE might expand he noted, "there just isn't any need Thelsis completes a Alaska-Japan-Ala·ska c1rc~t m by on-board generators. The Isis holds 196 refrigerated sions of corporate matters or port stevedoreing. We have been partic­ service to include Dutch Harbor­ for expansion this time. We've about 20 days. The ship, ]powered by German-destgned at vans. . . use." ularly hard hit by labor costs," he Orient trade. "We have no plans had substantial growth, we're now Captain Eric Judge said he didn't mmd a 1termg diesel engines, cruises at nearly 18 knots. . ahead in tonnage moving through Sea-Land plans to expand its Alaska-Japan servtce During a short press conference, said. for any such expansion. course to stop in Anchorage. "It's a good port," he this sununer. Tim Murplhy, a manager of Sea-Land's the TOTE executives discussed is­ But McMillan dismissed charges "It's a problem of taking a Anchorage. But new facilities are said. Judge, a veteran of nearly 30 years at sea, sues affecting maritime trade in the company's rate request was p:rimarily domestic trailer service not necessary to handle the Aleutian operations, saidl the new s~ps will hold .291 to international ports - it just isn't growth.'' quipped, "I've seen most of the world's ports - except container vans - more than the Stnder class ships. Alaska. improper. "We are just keeping our San Francisco." Judge has been with the Strider Isis since l,ler New vessels should be in sailing in August. ----~-----~ -················---·-

NEPT-UNE ORIENT PORT OF TACOMA DEDICATES ALASKA TERMINAL TO EXTEND SERVICE (COVE~ STORY) _ SAN FRANCISCO - Neptune Orient Lines, Ltd. (NOL) has an­ nounced the extension of its trans­ pacific container service into the Pacific Northwest. The Neptune Sapphire will intro­ duce this extended service with its arrival at Terminal 18 in Seattle on Sept. 8, 1979. NOL commenced its independent ( transpacific service in February 1978 and is currently providing a sailing every seven days to Japan, Hong At the ribbon cutting ceremony. From left: Dr. Richard Smitll, executive director, Port of Kong, Korea, Taiwan and Southeast Tacoma· George Sullivan mayor of Anchorage; R.B. McMilllen, TOTE; Walter Cotten, Tacoma' port commissio~er; Mayor Parker, Tacoma; and J:ack Fabulich, Tacoma port Asia. commissioner. Furness lnterocean Corporation, the roll-on/' roll-off ships owned by San Francisco, with offices in all by Robert P. Hammond TACOMA - More than 300 Tote, coveJrs 25 paved acres, in­ principal West Coast ports, is ~.S. cludes an operations tower, truck general agent for NOL. Contamer­ dignitaries and guests from Alaska, the Port of Tacoma and the City of scales, and 900 trailer parking stalls. ship Agency, Inc. is East ~oa.st / The area. is fenced and brightly Midwest agent and Allseas Shtppmg Tacoma, and Totem Ocean Trailer Express, Inc. turned out July 27 for lighted with sodium vapor light­ Company is Gulf agent. · the dedication of the Port of Taco­ fixture clusters, mounted on poles, 'In Canada the agents are R.G. approximately·85 feet high. The site Redburn, Ltd. (in Montreal and ma's new Alaska Terminal. The $5-million facility, construc­ was built up with materials dredged Toronto) and Furness lnterocean from the adjacent Sitcum Water- (Canada), Ltd. in Vancouver, BC. ted primarily to meet the needs of. way, then topped with high-quality introduction to the words of George gravels which were covered with M. Sullivan, Mayor of the Munici­ 121 ,000' square yards (20,200 tons) pality of Anchorage and chief exec­ of asphalt pavement. Protecting the utive officer of the Port of Anchor­ filled area is a berm shielded by rip age, who decried federal interven­ rap from slag from the nearby tion in Alaska's affairs. Asarco Smelter. "The Federal Government appar­ Remarks by Cotten ently thinks that the citizens of Walter R. Cotten, president of the Alaska can't manage their own port commission, opened his re­ affairs," Su11ivan said, pointing out marks by saying, "It gives me great that 56 million acres had been put pleasure to announce that the board aside into national parks and monu­ of comrnissioners has unanimously ments. "This massive set aside will voted llo name this facility the have an adverse effect on the growth Alaska 'Terminal. We want to clear­ of Alaska and also a negative impact ly say to the shipping world that we on its trading partners in the Pacific are an important gateway to the Dr. Smith, Port of Tacoma, accepts a Northwest. plaqae from the Cit)' of Anchorage from its largest state and our port wants to mayor, George Sullivan. "Alaska imports most of its recognize and honor the Port of the ability of Alaska to manage goods, and 45 percent of those Anchorage and, through it, all of Alaska's resources wisely, for both imports come through Anchorage. Alaska." present and future generations, and Half of the imports into Anchorage The port had little worry in added, "we are hopeful rational come via Tote, which means that committing this large investment, minds will prevail in Congress as the Tacoma has an important stake in Cotten continued, because it be­ Alaska lands legislation is debated. the well-being of the 50th State." lieves that Alaska is destined to It is essential that a balanced bi11 be He ur.ged Alaska's neighbors-­ occupy a larger role in the economy passed, which a11ows Alaskans to Washington, Oregon, Idaho, and of the nation as the population plan for the wise and orderly devel­ particularly the Port of Tacoma--to grows and the resources of the opment of their state." get behind Alaska and help it cast contigu,ous states decline. Mayor of Anchorage off its federal shackles. He said that he has confidence in Cotten's remarks made a fitting The growth of the Tacoma-Alas-

ka traffi . was highlighted by Robert McMillen pointed out that in dent of the Propeller Club of D. McMillen, president of Tote, terms of 40-foot equivalents in 1976, Tacoma, gave the invocation to whose ship, the SS Western Ven­ Tote moved a total of 22,810 40- open the program. ture, formed a backdrop to the foot equivalents. "In 1979 we are Prominent also in the activities ceremonies. Emphasizing that Tote projecting a total of 36,746 40-foot were representatives of Internation­ provides the fastest transportation equivalents," he said. "This repre­ al Longshoremen and Warehouse­ from Puget Sound to Alaska, other sents a 61 percent increase over men Union, Local 23; officials of than by air, McMillen stressed also 1976, or an average increase of 18 Sea Star Stevedore Company, which that the trailership concept offers percent for each year we have been handles most of the Tote cargo, and greater flexibility than most other in operation." several members of the Washington traffic-handling methods. These ad­ McMillen said he wanted to set at State Legislature. ( vantages are reflected in Tote's rest any rumors that Tote was in this Tacoma's Mayor Mike Parker growth in its short four-year history, business on a short-term basis. took the rostrum to welcome the he said. "We are here to stay," McMillen guests to the city and also to present "In 1976, our trailerships carried said. "Our acceptance of this new a key to the city to Mayor Sullivan, 334,932 short tons of freight to terminal is proof of our commit­ who was accompanied at the cere­ Alaska. For the year 1979 we are ment to the Port of Tacoma and to monies by his wife. Commissioner projecting a total of 565,690 short the people of Alaska." Cotten for the Port of Tacoma also tons, for an increase of 67 percent Program Highlights presented a plaque commemorating over 1976, or an annualized average Music for the program was pro­ the terminal to Mayor Su11ivan, who growth of 19 percent each year vided by the U.S. Naval Northwest in turn presented to Smith a since we have been in business," he Band, stationed at Sand Point, plaque from the Muncipality of said. Seattle. The ceremonies were presid­ Anchorage and the Port of Anchor­ "Our revenue has grown from ed over by Richard Dale Smith, age. $30 million in 1976 to a projected executive director of the Port of (All photos courtesy of the Port $54 million in 1979." Tacoma. George M. Vanek, presi- of Tacoma)