TRAILER BRIDGE REPORTS 4Q AND ANNUAL LOSSES

TRAILER BRIDGE REPORTS 4Q AND ANNUAL LOSSES    Trailer Bridge, Inc., the U.S. mainland/Puerto Rico shipping line, reported more losses for the fourth quarter and year ended Dec. 31, 2002, but it said that its vessel utilization has improved.
   For the fourth quarter, revenue was $19.7 million, up 3 percent compared to $19.2 million for the fourth quarter of 2001. The higher revenue was generated with less ship capacity, as Trailer Bridge had 20.5 percent less overall vessel capacity deployed between the mainland and Puerto Rico as a result of the discontinuance of the Northeast service at the end of the fourth quarter of 2001.
   The operating loss for the fourth quarter narrowed to $1.6 million, from an operating loss of $12.5 million in the same quarter in 2001.
   Trailer Bridge suffered a $2.4 million net loss in the latest quarter, as compared to a net deficit of $13.3 million in the fourth quarter of 2001.
   The Jacksonville-based company's vessel capacity utilization was 86.6 percent southbound and 19.9 percent northbound in the latest quarter, compared to 66.1 percent and 17 percent, respectively, during the year-earlier period. The shipping line also reported higher yields.
   Trailer Bridge had a negative cash flow from operating activities in the fourth quarter, but it said that it remains in compliance with covenants related to its various loan agreements.
   For the year, the carrier suffered a net deficit of $7.1 million, as compared to a loss of $29.4 million in 2001. Its operating loss narrowed to $4 million, from $26.2 million in 2001. Revenue for 2002 was $73.8 million, down 10 percent from the $81.6 million revenue for 2001.
   The management of Trailer Bridge noted that the company has experienced “a noteworthy increase in volume and revenue during March.” Trailer Bridge believes that actual fourth quarter 2002 volume and revenue levels are not indicative of its present business levels. It said that indicators point to March and periods going forward “being more robust.”
   “While the fourth quarter saw some increase in revenue levels, the effects from the supply/demand realignment are now taking hold in a more pronounced way,” said John D. McCown, chairman and chief executive officer of Trailer Bridge.