Port of Virginia Blog

“Charting New Horizons” is VMA Symposium Theme

Norfolk -- The theme of the Virginia Maritime Association's May 13, 2010, International Trade Symposium will be "Charting New Horizons" and is intended to convey the sense of careful optimism for the future in a new and changing environment for shippers and logistics service providers.

The program will include three panel discussions:

1) Export Expectations: Exporters and their service providers will discuss challenges faced by shippers and strategies being employed to successfully grow exports.

2) Seeing Green: This discussion centers on the ability to decrease environmental impacts in, and the environmental practices that are developing within the supply chain.

3) Reaching New Horizons: This focuses on the changes taking place that set Virginia apart now and in the future, highlighting Virginia's strategic advantages.

During his luncheon keynote speech, "Fixing Ocean Carrier Liner Policy", Peter Keller, principal of Peter I. Keller and Associates, LLC, and until recently executive vice president and chief operating officer of NYK Group America, will discuss the roller coaster that is the liner business and lay out some ideas going forward to create a more viable liner industry for the long term.

Gov. Bob McDonnell will be the keynote speaker at the banquet on May 13 at the Norfolk Waterside Marriott.

For additional information about the International Trade Symposium May 13-14 and registration visit the event web site at https://www.vamaritime.com/symposium.

Virginia Wins Site Selection’s 2010 Competitiveness Award

RICHMOND- The Commonwealth of Virginia has been awarded Site Selection magazine's 2010 Competitiveness Award.

The award measures state economic development agencies' competitiveness—the most important factor in an agency's ability to attract capital investment and expand economic activity in the state. This recognition goes to the state-level economic development agency that accumulates the most points across 10 quantifiable criteria for measuring business-expansion activity that took place in the previous calendar year.

"The hard work of the Virginia Economic Development Partnership, our Commonwealth's economic development marketing arm, has paid off, earning them the ranking of first in new business and business expansion activity in 2009," Gov. Bob McDonnell said. "We all know that everyone is rebounding from a tough economy, and to meet Site Selection's criteria says a lot about Virginia's recruitment and retention efforts that are in place."

"The Virginia Economic Development Partnership's focus on this challenge has resulted in its first Competitiveness Award, signaling to site selectors that Virginia will compete vigorously for projects and their resulting jobs," said Mark Arend, editor in chief of Site Selection.

Site Selection began the competition in 2003.

Work Begins on Phase II of Rail Yard

NORFOLK – Work is underway on phase II of the Central Rail Yard at Norfolk International Terminals. Construction crews have begun grading work for pavement and the demolition of Warehouse No. 4. The site should be completely cleared 60 days. 

The $10.1 million project will add six new tracks to the existing Central Rail Yard configuration. Work is scheduled for completion in February 2011. Phase 1 of the Central Rail Yard project opened in summer 2009 and it too created space for six new tracks.

The Central Rail Yard project is a complete renovation of the on-dock rail operation at NIT: old tracks were removed, dated warehouses were demolished and modern equipment such as reach stackers that are used in loading double-stack trains was purchased. Moreover, a shuttle-carrier operation that ferries containers from the vessel to the rail operation was implemented.

In addition to improving the efficiency of NIT's rail operation, the new configuration provides more capacity to build trains.

Rating Agencies Affirm Health of VPA Bonds

NORFOLK – Two of the nation's leading bond rating agencies have affirmed the health of $68 million in port revenue bonds that will be issued by the Virginia Port Authority later this month.

Standard & Poor's Ratings Services gave its "A+" long-term rating with a "stable outlook" to the Port Facilities Revenue Refunding Bonds and affirmed that same rating and outlook for about $217 million in outstanding Port Facilities Revenue Bonds.

Standard & Poor's said its long-term ratings reflect "the authority's continued good financial performance, despite recent container volume declines due to the global recession." The firm cited the port's "good competitive position as a natural, deep-channel port, with a central location on the East Coast, improving rail connections to the Midwest, and a history of good labor relations."

Moody's Investors Service assigned its "Aa3" rating with a "negative outlook" to the bonds and gave that same rating to the outstanding port facilities bonds

The proceeds from the bond issue scheduled for April 21 will be used to refund $55 million worth of bond anticipation notes the VPA issued in 2008 and rolled over last year.

When short-term interest rates fell more sharply than long-term rates two years ago, it was more economical for the VPA to use bond anticipation notes for its funding when compared with traditional long-term bonds, said Rodney Oliver, the VPA's chief financial officer and deputy executive director of administration. He said the VPA saved $10 million over two years in its decision to use the short-term notes.

Port Posts Strong Growth in TEUs for March, Quarter

Norfolk -- March was the third consecutive month of positive TEU numbers for The Port of Virginia when compared with last year. In March the Port handled 167,262 TEUs, an increase of 30,525 TEUs when compared with the same month in 2009.

For the quarter, the Port's total TEUS were 471,315 compared with 408,089 for the same period in 2009; an increase of 63,226 TEUs or 15.5 percent. The March trade balance was 58 percent exports and 42 percent imports.

Calendar year TEU totals, 2010 vs. 2009:

• March 2010 = 167,262
• March 2009 = 136,737
• February 2010 = 155,050
• February 2009 = 133,358
• January 2010 = 149,003
• January 2009 = 137,994

The Port in March also handled 20,324 tons of breakbulk cargo, down 763 tons when compared with March 2009. The 2010 breakbulk tonnage total through the end of March was 54,207.

Keever Leads Blessing of the Fleet Ceremonies

Cape Charles – Jeff Keever, senior deputy executive director of the Virginia Port Authority, was the master of ceremonies at the Blessing of the Fleet held April 9 at the Cape Charles harbor. Also in attendance: U.S. Rep. Glenn Nye, Cape Charles Mayor Dora Sullivan and Delegate Lynnwood Lewis. The Town of Cape Charles was awarded $500,000 for fiscal 2010 through the VPA's Aid to Local Ports program. Pictured above are Keever (left) and Nye (right foreground).

VPA Participates in Career Day

VPA Community Relations Coordinator Jodie Love discusses maritime careers with local students. 

Norfolk -- The Virginia Port Authority hosted a booth at the Shipbuilding, Repair and Maritime Career Day Event at the Ted Constant Convocation Center at Old Dominion University on March 30. Approximately 600 public school students in grades 6-12 attended the event.