APL reports sharp drop in cargo volumes

APL reports sharp drop in cargo volumes Neptune Orient Lines, the parent of container carrier APL, said it handled 218,100 40-foot equivalent units (FEUs) during the six weeks ending Dec. 26, 24 percent fewer containers than it did in the same 2007 period.
   In an operational update to investors, the company said, “the decrease in container shipping volumes is a result of the rapid deterioration in demand on all major trade lanes and proactive capacity management by the company to reduce costs.”
   The company said average revenue in the same six-week period was $2,921 per FEU, up 3 percent over the same period last year largely due to recovery of bunker fuel costs.
   For the entire year, the company said it handled about 2.46 million FEUs, 5 percent more than 2007. Revenue for the entire year averaged $3,033 per FEU, about 11 percent more than in 2007.