August 8 2012
Maersk group strategy pays off, getting rates back on track, says CEO
DENMARK'S AP Moller-Maersk's five-year plan of focusing on four core strategic businesses is already paying off, according to group CEO, Nils Smedegaard Andersen
Since the strategy was launched the company has committed more than US$12 billion in investments in Maersk Oil and Gas, Maersk Drilling, Maersk Line and APM Terminals.
Mr Andersen said in the company's employee magazine that Maersk Oil and APM Terminals are ahead of plans, and Maersk Drilling is progressing according to plans but pointed out that Maersk Line's container business is still disappointing.
"The development in container freight rates and profitability for Maersk Line has disappointed us, but we have taken a step back, initiated a restructuring plan and are working to get freight rates back to sustainable levels," Mr Andersen said.
But he said the outlook for the year ahead looks more promising. "Although we are not as well positioned as we hoped to be a year ago, the early signs are positive, and I am optimistic that Maersk Line will be in a much stronger position in a year's time," he said.