REETIN

Dear Friends,

At this happy and festive time of year, it is a pleasure topause and express our best holiday wishes to good

friends such as you.

We sincerely appreciate the friendship you have shown

us. Our association during the past year has been

rewarding, and we hope to continue to earn yourconfidence and goodwili in the years to come.

May you and yours enjoy a wonderful holiday season,with much happiness and prosperity in the coming year.

Sincerely,

Port of HoustonAuthority

Volume 36 December 1994 Number 12

H. THOMAS KORNEGAYExecutive Director

GEORGE T. WlLLIAMSONManaging Director

F. WILLIAM COLBURNGeneral Counsel

ROSIE BARRERADirector of Public Affairs

JAMES ELDRIDGEDirector of Administration

JOHN P. HORANDirector of Port Operations

DANIEL MARRERODirector of Trade Development

TOMMY J. TOMPKINSCounty Auditor

THE PORTOF HOUSTON MAGAZINE is publishedmonthly by the Port of Houston Authority, PO Box2562, Houston, Texas 77252-2562, and isdistributed free to maritime, industrial and transpor-tation interests in the United States and foreigncountries

MAGAZINE STAFFCommunications Manager ....... Rio GriffinEditor ............. Ann BordelonAdvertising Sales/Production Sheila AdamsArtist/Production Coordinator Marcella CabreraWriter ...... Susan HumphreyPhotographer ......... Ray SotoSecretary .......... Carol Finnell

This publication is not copyrighted and permissionis given for the reproduction or use of any originalmaterials, provided credit is given to the Port ofHouston Authority¯ Additional information, addresschanges, extra copies or advertising rates may beobtained by writing the PORT OF HOUSTONMAGAZINE

EXECUTIVE OFFICE111 East Loop NorthP.O. Box 2562Houston, TX 77252-2562Phone: (713) 670-2400Fax: (713) 670-2429

FIELD OFFICE1650 Sycamore Ave.,

Suite 23Bohemia, NY 11716

Phone: (516) 244-3677or 244-7428

Fax: (516) 244-3757

.

2General Cargo Center of Action

6The Twenties Roar Again

10Mexican Line Makes Its Move

DEPARTMENTPort Side 26

ON THE COVERThe Port of Houston Authority’s Turning BasinTerminal caters to breakbulk and combinationliner services, with special attributes that makeit ideal for project cargoes.

PORT COMMISSIONERS

NED HOLMESChairman

H.J. MIDDLETONCommissioner

ROBERT GILLETTECommissioner

LEROY BRUNERCommissioner

C.C. SMITHERMANCommissioner

JOHN WEBB JR.Commissioner

BETTI MALDONADOCommissioner

General Cargo Center of Action

he Port of Houston Authorityrecently awarded a contractto an engineering firm to build asecond dockside container

crane for the Turning Basin Terminal. Thecrane will cost approximately $5 million, butit’s a smart investment in a versatile terminal.This all-purpose terminal has been instrumen-tal in the port’s ability to build a large, di-verse customer base.

"Sometimes traditional general cargo ter-minals don’t have the glamorous reputationthat today’s high-tech dedicated container-handling terminals have. But terminals likethe Turning Basin fill an important niche,"says Walter Kleczkowski, manager of theTurning Basin Terminal. "Our customers in-clude many lines that move combinationshipments or serve ports that aren’t equippedto handle containers as efficiently. They de-pend on us to provide a versatile facility thataccommodates more than one cargo-handlingmethod."

The acquisition of a second containercrane is one symbol of that commitment,says Kleczkowski. Bardella S.A. IndustriasMechanicas of Sao Paulo, Brazil, received thecontract to build the crane, which will havea lift capacity of 40 long tons.

"We expect to have the new crane up andworking in the first quarter of 1996," saysKleczkowski.Larger and Faster

The new crane’s vertical clearance willmeasure 81 feet from the dock to the bottomof the spreader bar, making it taller than theterminal’s existing container crane; the addi-tional height will reduce the need to boomup/boom down over the deck cranes of mostvessels. The Bardella crane also will operatefaster than the older crane. The new crane,like the older one, will be able to travel onrails from Wharves 23 to 31. In 1995, thecrane rails on the wharf apron will be up-

Contractors work on the fender system at Wharf 27,part of an ongoing maintenance program at theTurning Basin Terminal.

graded at an approximate cost of $500,000.Plans also are in the works for developing anadditional area where the crane can besecured in the event of severe weather; thatproject will cost $100,000.

The crane purchase comes as good newsto the terminal’s container shippers becausedemand for the existing crane is growing.Several major lines count on the rail-mount-ed container crane to accommodate theirregularly scheduled vessels. In 1993, 15 linesused the terminal’s container crane. The ter-minal handled 114,300 TEUs during 1993 and83,500 TEUs through September 1994. Klecz-kowski estimates the number of hours thecrane is used will rise by 5 to 7 percent for1994 and will continue to increase next year.More Users

"We have new steamship services using thecrane, and we have lines that are adding ships,using larger ships or simply moving more con-tainers, so the demand for a second cranedefinitely exists," says Kleczkowski. "Thenew crane will help us improve vessel turn-around time and give us more flexibility to ac-commodate multiple container crane requests."

Kleczkowski said Port Authority staffsought input from stevedoring companiesbefore deciding on the type of crane to bepurchased. Most indicated they preferred arail-mounted unit. All agreed that productivi-ty was of the utmost importance.Other Improvements

Other investments are on the drawingboard for the Turning Basin Terminal. ThePort Authority recently accepted bids for re-roofing of Transit Shed 10. Other projects in-clude improvements to railroad tracks at

Wharf 29 and maintenance dredging. Renova-tions to the Manchester Dock, which wasbuilt in 1951, will begin in 1995; the workwill cost an estimated $2.5 million.

Freight handlers were pleased to learn thePort Authority, at the request of the WestGulf Maritime Association, will install a facili-ty at the Turning Basin to wash down theirmobile equipment. The project will ensurethat no oily residue is washed into theHouston Ship Channel and should be com-

(Continued on Page 13)

Above: The Turn-ing Basin Ter-minal offers ver-satile facilities.

Below: The termi-nai’s docksidecontainer crane.A second crane ison order.

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Commerce Secretary Visits Houston

R on Brown, U.S. Com-merce Secretary, recent-ly visited Houston to

evaluate the city’s suitability as asite for a regional Export Assis-tance Center.

Brown’s visit followed a requestby U.S. Rep. Gene Green of Texasthat Houston be considered as apossible site for one of the Com-merce Department’s regional U.S.Export Assistance Centers to beestablished in 1996.

The Department of Commerceplans to establish Export Assis-tance Centers in various locationsto streamline the export process.Export marketing and trade fi-nance counselors, as well as repre-sentatives of federal services suchas the U.S. and Foreign Commer-cial Service, Export-Import Bank,the Small Business Administrationand in some centers, the U.S.Agency for International Develop-ment, will be located at eachassistance center, rather thanmultiple offices.

"Because American exportsequal American jobs, every billion-

Shown (from left) are Port Commissioners Howard Mlddleton and Bettl Maldonado,Commerce Secretary Ron Brown and Port Commissioner John Webb Jr.

dollar increase in exports createssomewhere between 17,000 and20,000 new jobs," Brown saidduring a Houston news conference.

Government agencies must workto provide adequate resources soU.S. exports can grow, Brownsaid. These resources must bemade available not only to com-panies that already export, but toorganizations that are ready to ex-port or are seeking to developtrade opportunities.

The Commerce Departmentcreated four pilot Export As-sistance Centers in 1994 inBaltimore, Chicago, Miami andLong Beach. The selection of sitesfor additional centers will be basedon the availability of U.S. andForeign Commercial Service, Ex-port-Import Bank and Small Busi-ness Administration resources; thepresence of export developmentpartners; and concentration ofexport-ready businesses.

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Maritime c,aa Recalls the Twenties

h, the Roaring Twenties. No period in Ameri-can history had a more distinctive flavorthan the decade remembered for AI Caponeand his notorious gangsters, the Charleston,

Prohibition and bootlegging.One recent evening, a group of Houstonians were taken

back to that extraordinary time. "The Twenties Roar Again!"was the theme of the 1994 Maritime Gala, a fund-raiser bene-fiting the Houston International Seafarers Center. The eventraised approximately $92,000 for the center.

For just a few hours, guests entering the ballroom of TheDoubletree Hotel on Post Oak found themselves in a 20s-stylespeakeasy. Each guest had to whisper a secret phrase at thedoor before being permitted to join the festivities. In thespirit of the evening, many women guests donned flapper-style dresses and men wore spats and slicked-back hair. The sur-prise of the evening came when would-be police, costumedin 1920s-type uniforms, entered the room and threatened to

Top left: Leslie Rutherford tries out an antique barber’s chair.

Bottom left: Rivers Patout (left) and Ted Thorjussen (right) of Seafarers Center board of directors present the Tall Ship Award to LouLawler.Above: Shown (from left) are Robin Bennett, Jucquellne Struss, VlvlanWhltehouse-Kornegay and Thorjussen.

6

close down the Prohibition-era night club.The evening’s activities consisted of a

cocktail reception, dancing, dinner and silentand live auctions. Houston Fire Chief EddieCorral was master of ceremonies for theevening, and Shelly Hancock, judge of HarrisCounty Criminal Court No. 7, was the auc-tioneer. Vivian Whitehouse-Kornegay, wife ofPort of Houston Authority Executive Direc-tor Thomas Kornegay, was chairperson ofthis year’s gala. She was assisted by co-chairsRobin Bennett and Jackie Struss.Seafarers Mission

Proceeds frorn the evening benefit theHouston International Seafarers Center,which has facilities near the Port of HoustonAuthority’s Turning Basin Terminal and Bar-bouts Cut Container Terminal. Staffed bychurch chaplains and volunteers, the centersprovide sailors in port with a place to makelong-distance phone calls, eat, relax and seekspiritual guidance or counseling. The facilitiesinclude chapels, snack bars, pool tables, out-door athletic facilities, gift shops and libraries.

"Although Houston is well recognized asan international city for commerce and trade,many fail to consider the sailors aboard the5,000 ships that dock at our port everyyear," Whitehouse-Kornegay says. "Whilethe Maritime Gala helps raise funds to sup-port the centers’ important mission of pro-viding services to seafarers, I think it alsobolsters the image of Houston. That’sbecause the impression that seafarers form ofHouston results from their interaction withthe centers. We want them to carry a posi-tive image of our city around the world."The Evening’s Honorees

The true stars of this year’s gala were twoof the center’s many dedicated volunteers. J.Michael Solar and Lou Lawler were honoredfor their years of hard work and support ofthe center. Solar received the Bronze AnchorAward for distinguished service to the mari-time industry by an individual associatedwith the industry. A prominent attorney, heserved on the Port of Houston Commissionfor six years and is the son of a National

(Continued on Page 13)

Top: Attending theauction were (fromleft) Michael Solarand son Bryan andCapt. RichardSchultheis of theHouston Pilots.Bottom: Attendingthe gala were (clock-wise, from bottom)Houston Fire ChiefEddie Corral, Port ofHouston Commis-sioner Howard Mid-dleton, Dick Scott ofEcono-Rail Corp. andPort CommissionerC.C. Smitberman.

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CMA Announces New Mediterranean LinkCompagnie Maritime D’Affrete-

ment (CMA), the Cast Group andTricon Lines have announced a newjoint express container service be-tween the U.S. East Coast and theMediterranean. Tricon is a jointservice between DSR-Senator Linesand Cho Yang Lines.

The new service was scheduledto begin in early November, withfull weekly operation in place byJanuary 1, 1995.

Previously, Tricon operated ninevessels in a weekly service connect-ing the Mediterranean, the Middle

East and the Far East. With theagreement, four vessels were to beadded to that service and theschedule was to be extended tocover the U.S. East Coast. The CastGroup and CMA will participate inthe Mediterranean - United Statesportion of the extended service.Two CMA vessels will be involvedin the new schedule.Modern Tonnage

Vessels employed will be in the1,800-2,000 TEU range and will beoperated by Tricon Lines. A spokes-person said the agreement will pro-

vide modern tonnage and fast,direct weekly connections for west-bound cargo. The eastbound servicewill provide stronger emphasis onthe weaker eastern Mediterraneanmarkets. Transit time from the Mid-dle East to the United States will becut by as much as a week, thespokesperson said.

The four lines will maintain theirindividual marketing and salesorganizations. CMA can be con-tacted in Houston through theiragents, Phoenician InternationalShipping, at (713) 590-1500.

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Phone: (713) 452-0282Fax: (713) 452-0189

¯ RO/RO services twice a month

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Mexican Line ImprovesHouston Service

ecently, educatorsand business ex-ecutives fromGuadalajara, Mex-

ico, toured a new Mexican Linevessel docked at Barbours Cut Ter-minal. They were impressed withthe ship’s size and its advancedtechnological systems.

"It was a pleasure to show themthe vessel because it is a symbol ofMexico’s growing role in interna-tional trade," says Ignacio Gomez,owners representative for Transpor-tacion Maritima Mexicana (TMM) Houston. TMM (also known as Mexi-can Line) is a central player as

Mexico continues to increase itsparticipation in world trade.

TMM’s Houston office is a busyplace these days. Gomez some-times halts conversations to helphis staff answer the telephone.Everyone moves about thc officewith a sense of urgency and purpose.

’qf we look harricd thesc days,it’s good news not bad," saysGomez. "Business is excellent. Weoffer the best service and a shorttransit time. So the shippers useour service more and more."

In the past year, TMM has improved the frequency and thecapacity of its services in response

to growing demands from cus-tomers. Mexican Line operates twoservices that call in Houston: oneconnecting Mexico and the U.S.Gulf with ports in Northern Europeand one to the Mediterranean. TheNorthern Europe scrvicc now callsweekly, while the Mediterraneanservice calls every 20 clays.

Three new vessels the NUEVOLEON, thc SONORA and the YU-CA TAN -- were added to the North-ern European service this year.Each can carry 2,400 TEUs of con-tainerized cargo, including 200 reef-ers. The vessels can handle 20-foot,40-foot and 45-foot-long containers.They also are equipped with integrated bridge systems whichreduce the number of crew requiredto operate at top efficiency.

TMM has also replaced twovessels in its Mediterranean

service with larger ships.The MITLA and COLIMA

can each accommodate1,600 TEUs of cargo,almost double thecapacity of vessels pre-viously used in the

service.Mexican Line has been

calling in the U.S. Gulf since1986. "At that time, the North-ern Europe service had a 15-

day frequency," Gomez recalls."Now, we have a fixed weekly

service. The secret is to consis-offer reliable and efficient

Educators and business executives fromGuadalajara are shown during a tour ofone of Mexican Line’s new ultramodernvessels. The visitors were accompaniedby representatives of the continuingeducation program at the University ofHouston, Clear Lake, and the HoustonHispanic Chamber of Commerce.

service. That’s one of the reasonswe use the terminal at BarboursCut for our Houston calls."

For two decades, Barbours Cuthas been a focal point for im-provement and expansion. ThePort of Houston Authority added afifth berth to the facility in 1994,and a sixth berth is under con-struction now. Two new wharfcranes and eight new yard craneswere delivered and installed thisyear. Older cranes are beingmodernized. A new truck gate has

Above: The MIV YUCATAN is one ofthree new vessels deployed in MexicanLine’s service to Northern Europe. Theship can accommodate 2,400 TEUs ofcontainerized cargo and features an in-tegrated bridge system.

Right: The M/V MITLA recently becamepart of Mexican Line’s service connect-ing Mexico and the U.S. Gulf withMediterranean ports. Shown here, fromleft, are Forrest Wiggins and Jim Pat-ton, Oceans International; John Rydlund,PHA; Capt. Adolfo Valencia, vesselmaster; Capt. Fernando Cobos, MexicanLine; and Dan Insley, Oceans Interna-tional.

been added, and new procedureshave improved the turnaroundtime for trucks. Also, Barbours Cutuses sophisticated computersystems for modeling, inventoryand providing information tousers.

"TMM has a very strong em-phasis on customer service aswell as on competitive pricing,"says Gomez. "It only makes sensethat vessels equipped with thenewest marine systems wouldcall at a facility that has anequal interest in employing tech-

nology to help its users."After pausing to answer another

telephone call, Gomez nods re-flectively. "Things will move veryfast next year," he says. "We ex-pect continued trade growth be-tween North America and Europe.That’s one of the reasons we haveupgraded our capacity and fre-quency. We want to be ready toserve our existing customers aswell as ever and also to accom-modate new customers as theycome on board." []

11

It Takes Dedication.

In our business, quality is adirect result of dedication. In everysense of the word.

It starts with a dedicated spirit,one you can witness firsthand everytime you watch our people workingtogether with a dedicated team effort.But at Ryan-Walsh, that spirit runs much deeper.It’s a company-wide commitment to succeed in theface of the weather, tight turnaround schedules,the specialized demands of loading and unloading,and all the other challenges presented in thelogistics chain.

You can see other hard evidenceof our dedication at each of ourlocations - in the highly specialized

equipment utilized for specificpurposes such as moving, handling

and tracking cargo.

But probably the most importantform of dedication may be one that’s shapingtomorrow. It’s our dedication to continuousimprovement, to finding better, faster ways ofproviding our quality customers with topquality service.

Ryan.Walsh°Ryan Walsh IncIn Houston contact:11811 East Freeway Suite 555 77029713/450-1610 ¯ FAX: 713/455-2875Serves Freeport and Brownsville Texas

Stevedoring ̄ Cargo Handling ̄ Terminal Operations ̄ Packaging ̄ Distribution ¯ Logistics Management