Group Chief Executive Bo Lerenius was in positive mood as ABP's results for 2002 were announced, commenting, 'The full year performance is particularly pleasing given the current uncertain economic climate and continues to demonstrate the advantage of pursuing a strategy of developing new business with long-term contracts and quality customers.

The group's strong cash flow and diverse spread of geographical and cargo risk leads the group to remain confident of making further progress in 2003.'

Over 50% of the group's UK ports business this year will be underpinned by such long-term contracts and no single cargo type accounts for more than 10% of the group's UK ports turnover. ABP has won 50 new term contracts over the last three years while simultaneously selling £272m worth of non-core property and land.

Turnover in the core UK ports and transport business accounted for more than 80% of the group's continuing turnover.

Total annual turnover at the group's 21 UK ports was actually down slightly last year but stripping out low-margin oil and decreased imports of coal and iron ore in South Wales, the groups UK ports experienced an underlying growth in throughput of 1.6%. Importantly, key trades continued to show growth, including ro-ro traffic, containers, vehicle imports and exports, imports of forest products, and cruise ship calls.

ABP Grimsby & Immingham was reconfirmed as the UK's number one port in tonnage, with turnover up by 5.9% while at ABP Southampton, container volumes grew by 9.5%, bolstering the group's case for developing new facilities at Dibden Bay.

A public inquiry into the proposed new container terminal finished late last year and the government's decision is expected late this year or in early 2004.

MJ Information No: 18049