News Releases in 2006

July 25, 2006

Nippon Yusen Kaisha (NYK; Headquartered in Chiyoda-ku, Tokyo; President: Koji Miyahara) has secured a charter contract with Taiwan Power Company*. NYK remains the only Japanese shipping company that has ever secured such a contract with Taiwan Power.

This contract is for the transport of 1,000,000 tons of coal to Taiwan from Indonesia and Australia. The contract term is from July 2006 to May 2007, and this is the second consecutive year that NYK and Taiwan Power Company have agreed to a one-year contract.

Since 2005, NYK has worked to strengthen its business partnership with Taiwan Power Company through spot contracts consisting of only a few voyages. Therefore, NYK is proud to see a more established relationship begin to develop.

Due to recent increases in petroleum prices, most electric companies are focusing on fossil fuels such as coal, which is abundant and cost-efficient. This increases the demand for coal transportation. NYK will further expand its transportation business by responding to the needs of worldwide power suppliers.

Outline of charter contract:

Contract term	July 2006-May 2007
Carrier used	Bulk carrier (80,000 tons)

* Taiwan Power Company
Taiwan Power Company was established in 1946 and is the only electric power distributor in Taiwan. The total energy production including IPP in 2005 is 189.7 billion Kwt. The power production distribution is 43.6% coal, 20.2% nuclear, 19.8% LNG, 6.7% cogeneration, 5.5% petroleum, 2.2% renewable energy and 2% pumped storage.