TSA RELEASES VOLUNTARY GUIDELINES

   Responding to calls from European, Asian and U.S. shippers, members of
the Transpacific Stabilization Agreement have released their voluntary
service contract guidelines covering the 1999 contracting season.
   The TSA said the guidelines "are strictly voluntary and non-binding,"
and that the group will neither interfere with carrier decisions nor
monitor compliance with the suggested guidelines.
   The TSA guidelines also recommended:
   * A general rate hike of $900 per 40-foot container on freight moving
from Asia to the U.S. West Coast.
   * A rate increase of $1,000 per FEU moving from Asia to other U.S.
destinations.
   * A minimum peak season surcharge of $300 per FEU, effective June 1
through Nov. 30.
   * That carriers use 1998 boilerplate contracts, with no increases in the
1999 credit, free time, demurrage, detention and other accessorial charges.
   * That all contracts running beyond May 1, 2000 contain automatic
general rate increase clauses.
   The TSA encouraged carriers to provide members with rate and terms of
service information if doing so would not breach confidentiality. The TSA
maintains that such sharing may be necessary to clarify rumors, avoid
misinformation, and maintain trade stability.
   The guidelines also offered two possible confidentiality clauses.,
However, a source close to TSA said that most carriers tailored their own
confidentiality clauses.