CP SHIPS REPORTS FALL IN SECOND QUARTER PROFIT

    CP Ships, the rapidly expanding shipping group owned by Canadian Pacific, reported a drop in its operating income and net income for the second quarter caused by lower freight rates.
    Operating income was down C$19 million (US$13 million) during the latest quarter, to C$26 million (US$18 million), compared to C$45 million last year.
Net income was C$19 million (US$13 million), compared to C$42 million in the second quarter of 1998.
    Revenue increased by 14 percent, to C$690 (US$472 million), as container carryings rose by 28 percent, to 352,000 TEUs.
    CP said that transatlantic freight rates are down 15 percent on last year.
Americana Ships, the joint venture of CP Ships and Transportacion Maritime Mexicana, reached breakeven following a significant loss in the first quarter. The company expects to make further cost reductions during the course of the year and into 2000.
    CP Ships is the parent company of Canada Maritime, Cast, Lykes, Contship and ANZDL.