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Annual Report 2019

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Annual Report 2019 Annual Report 2019 1865 – 2019 Vessel positions 30 March 2020 (also page 43). M/S VISBORG M/S VISBY M/S DROTTEN HSC GOTLANDIA HSC GOTLANDIA II M/S GUTE M/S GOTLAND Annual Report 2019 Contents www.gotlandsbolaget.se/en – www.gotlandtankers.se/en An extraordinary situation ....................................4 Rescue boat Eric D. Nilsson .................................5 Business concept and vision ............................6–7 Environment and the natural cycle ...................8–9 Destination Gotland ..................................... 10–11 Gotland Tankers .................................................12 GotlandsResor ...................................................13 Stockholms Reparationsvarv .............................14 www.destinationgotland.se Gotlands Stuveri ................................................15 The share and development ......................... 16–17 Board of Directors’ report ............................ 18–19 The business in brief – Group .............................20 Income statement 2019 .....................................21 Balance sheet as at 31 December 2019........ 22–23 Statement of changes in equity .........................24 Cash flow statements ........................................25 www.gotlandsresor.se Accounting and valuation policies................26–27 Notes to the consolidated and Parent Company financial statements ........ 28–35 Audit Report .................................................36–37 Board of Directors ..............................................38 Vessel Gallery ..............................................39–42 The annual report is also available on our website: www.gotlandsbolaget.se The AGM is scheduled to be held in the Congress Hall at Wisby www.srvab.com Strand on 30 June 2020 at 11am. Rederi AB Gotland, Visby. Design: Outhouse Graviz & Kusinerna. Cover photo: Olof Segerberg. Printed by: iVisby Tryckeri. Visby 2020. REDERI AB GOTLAND » ANNUAL REPORT 2019 » 3 Equipped for the future The end of 2019 saw delivery of the company’s other newly built LNG ship from the GSI shipyard in China. Its working name, M/S Thjelvar, has now been changed to M/S Gotland. This is in line with a tradition that has existed since 1865. The first ship, M/S Visborg, will also be changing her name to M/S Visby in accordance with the same tradition. We are reducing our climate impact further with two LNG ships on the Gotland service, and giving us even better opportunities to run our services with elements of renewable energy thanks to the gradual introduction of Photo: Karl Melander LBG (Liquefied BioGas). Over the year, Destination Gotland has also adopted a Ann-Marie Åström, Chairman (shareholding, see page 17) and CEO Håkan green roadmap that describes how the Johansson (shareholding 100 shares). Gotland service can reduce its climate impact by 70 per cent by 2030. This means we are well-equipped for the forthcoming An extraordinary contract period. A positive aspect situation For product tankers, 2019 was another year with a relatively weak market. At the time of writing, the coronavirus see major loss of revenue. At the same However, the shipping rates increased during the winter and spring and this has impacted massively on Sweden. time, we are giving priority to sustained – in combination with a massive drop Gatherings have been banned for over security of supply for Gotland, where in the price of oil – has improved the a month, and it has been recommended daily ferry services are crucial for access profitability of Gotland Tankers. This that we citizens should not travel, to goods, foods and medications. This is gives us a much-needed glimmer of light and that we should stay at home as being achieved by concentrating services in an otherwise dark period. much as possible. We are encouraged on what are referred to as basic services, to collectively take responsibility for with two ships. These measures are Overall account – and warmest protecting our elderly and people around allowing us to reduce the risk of infection thanks us who belong to particularly vulnerable among our employees, while also making Our balance sheet has expanded groups. Swedish trade and industry has us less vulnerable in a scenario whereby enormously on account of the taken a hard knock. The tourist industry we see a dramatic increase in the number generational shift with regard to Gotland and the transport industry are some of of staff on sick leave. We have also service ships. We have also reduced those most deeply affected. Rederi AB implemented a number of initiatives to our fleet by selling a number of ships Gotland has also been affected. support other social functions on the during the year, which has resulted in As things stand at present, it is difficult island of Gotland. For instance, we have positive capital gains. This explains the to assess the extent of the adverse impact obtained dispensation from the Swedish improvement in profit that we see for on our business due to COVID-19. The Transport Agency to provide special 2019. This is of course positive for the amount of revenue we lose is largely ambulance services. business year, but at the same time it is a dependent on how long the authorities’ While we are implementing one-off event that places greater emphasis restrictions continue to be implemented. adaptations and measures in order to on our challenge; to improve profitability In the scenarios we are expecting to see, deal with significant loss of revenue, we in order to increase competitiveness in it will make a big difference if travel can are preparing for a situation in which future procurement procedures. Our be resumed in May/June, or significantly demand for domestic travel and the staff are absolutely crucial to our attempts later. This is because so much travel using attractiveness of Gotland could be to improve our business. This is why we the Gotland service takes place between greater than ever. We may see this effect would like to pass on our warmest thanks to all of you for your fantastic efforts June and August. if the restrictions on foreign travel are throughout the year! We have been working intensively upheld and the recommendations against since March to adapt our activities and domestic travel are toned down. This is take action to reduce our expenses so that how unusual and complex the situation Ann-Marie Åström, Chairman we can prepare for a situation where we is in Sweden in May 2020. Håkan Johansson, CEO 4 « ANNUAL REPORT 2019 « REDERI AB GOTLAND Photo: Swedish Sea Rescue Society The picture shows the first rescue boat of the Sanne class. Photo: Swedish Sea Rescue Society Hejdström Roland Photo: The rescue boat Rescue Eric D. Nilsson during completion at the shipyard in Eric D. Nilsson Hunnebostrand, which will be the second Sanne class boat. Rescue boat Eric D. Nilsson A tribute and an initiative When our honorary chairman, As a Gotland company, safety on the Baltic Hunnebostrand. It is a Sanne class boat shipowner Eric D. Nilsson, celebrated is of course close to our hearts, and it feels and has been designed specifically for his 90th birthday in 2017, the Board good to contribute to the important work work at sea and adapted for conditions decided to mark the occasion with a of the Swedish Sea Rescue Society in this along the Swedish coast and in our special donation. This is the background way, helping to bring greater security to archipelagoes. Rescue boat Eric D. behind the new rescue boat donated to the people of the island. Nilsson will be commissioned in 2020. the Swedish Sea Rescue Society (SSRS), The boat is 14 metres long and was which will be stationed in Visby. built by Swede Ship Composite AB in REDERI AB GOTLAND » ANNUAL REPORT 2019 » 5 Business concept and vision Photo: Oresund DryDocks M/S Gotland (formerly Thjelvar) at the shipyard in Landskrona. 6 « ANNUAL REPORT 2019 « REDERI AB GOTLAND Photo: Mercy Ships Photo: Therese Therese Hübner Photo: Photo: Stig Hammarstedt Photo: Doubling our efforts Rederi AB Gotland has a contract with our entire range. Just as the founders of stipendiefond” awards grants to Gotland the state, providing us with a certain our company believed in the importance people who want to continue with their degree of security in what we do. When of a reliable connection to the island, we maritime studies after upper secondary we decided to make a major investment believe that the growth of Gotland and school. Over the years, we have also and procure our first LNG ship, we the attractiveness of living and working played our part by reinforcing culture knew that that contract would give us a on the island are so great that there will on the island by working in partnership certain amount of cover in the form of be enough business to maintain two new with Mediaeval Week, Gotland Museum the procured service. ships. and the Romateatern theatre, along with a Now that we are investing in a sister Our CSR work is a way of giving number of activities and events. One new vessel to the first one, a second ship that something back to the Gotland feature is that we will be offering our staff runs on LNG, we do not have the same community and extending our the opportunity to work as volunteers on security: we are taking a major economic relationship with the people of the island. one of the world’s biggest civilian hospital risk. This is a risk that we are willing to Our donation of the rescue boat Eric D. ships via the Mercy Ships organisation. take thanks to our indomitable belief in Nilsson was a localised initiative. We have For this, we will be paying expenses for the island of Gotland, her people and the long been a primary funder of the three- travel, visas, vaccinations, etc. In this attractiveness of the island. Our forward- year maritime programme at the upper way, we hope to reinforce our staff and looking investment line will allow us to secondary school, and the foundation also make a difference outside our own continue a climate transition that covers “Skeppsredare Eric D.
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