South China continues to develop at a rate exceeding expectations. We are therefore proactive in looking at our processes and workflow in order to remain effective and at the same time offer more value-added services. This has contributed to improved cargo flow through Hong Kong and throughout the Pearl River Delta.

Because we are an active part of the logistics supply chain, we help create better transport solutions and contribute to making our customers' products better and more competitive.

Our logistics approach is to improve all the processes involved, not just for Modern Terminals but also in collaboration with other players in the market. As such, Modern Terminals has taken the initiative in many ways to drive the market forward. For example, via the ModernPorts one-stop electronic platform we have simplified processes and now provide more real-time information about container movements.

In support of our logistics initiatives, we collaborate with all stakeholders in the community, including government authorities, in regard to ancillary services, infrastructure projects and improvements to cross-boundary trucking processes. Modern Terminals is developing a Cross-Boundary Trucking Pipeline with its mainland partner, Shenzhen South-China International Logistics Co Ltd (SILC), in order to relieve checkpoint congestion between Hong Kong and Shenzhen. After considering our proposals, Hong Kong and Shenzhen customs announced that a ¡¥green lane¡¦ would be introduced for the trucking community and a pilot project would be implemented by 2006, thus simplifying cross-boundary procedures.

The Modern Terminals Marketing and Logistics team members are proactive and skilled at handling the many projects that the company puts forward, and the team is adept at developing innovative solutions for both existing processes and new needs. In this way, Modern Terminals benefits the entire industry, from truckers to shipping lines and cargo owners, as well as other container terminal operators.