2TRANSNET INTEGRATED REPORT 20161 TRANSNET INTEGRATED REPORT 2016

PORT TERMINALS

HIGHLIGHTS � Revenue grew by 5,1% to R10,2 billion

(2015: R9,7 billion). � Savings of R496 million achieved against budgeted

operating expenses of R7,7 billion. � R1,1 billion spent on capacity creation and

maintenance projects during the 2016 financial year. � The primary measure of operational efficiency, moves

per ship working hour (SWH), improved from an average of 49 to 57 moves across all container terminals.

BUSINESS OVERVIEWTransnet Port Terminals (Port Terminals) is the country’s leading operator of dry bulk, breakbulk, automotive and container terminals. Through the strategic role it plays in the management of these key trade hubs, it ensures year-round connectivity of the South African economy with other economies around the world. It does this through continuous improvement in the reliability and efficiency of its operations and by innovating in all aspects of its business. As a vital facilitator of trade between the South African and global markets, its aim is to continuously reduce the cost of doing business by positively contributing to globally-competitive logistics costs.

Port Terminals operates container terminals at the ports of Durban, Ngqura, Port Elizabeth and Cape Town. The division has a current annual capacity of over 6,3 million TEUs and is well positioned to facilitate the growing demand for gateway and transhipment cargo.

Operations within the bulk sector relate to the handling of dry bulk commodities through a network of conveyor belts and ship loading and offloading equipment. With a market share of 52%, Port Terminals handles mineral bulk at the ports of Richards Bay, Port Elizabeth and Saldanha, and handles agricultural bulk commodities at the ports of Durban and East London.

Through its break-bulk operations, Port Terminals handles abnormal and project cargo, timber, steel and other commodities. The division also handles traditional bulk commodities via skips.

Automotive terminals are located at the ports of Durban, Port Elizabeth and East London. These facilities handle a variety of cargo driven onto and off shipping vessels.

Port Terminals pursues competitive pricing to promote volume growth in all four sectors (containers, dry bulk, break-bulk and automotive) and to ensure the optimum utilisation of assets, thereby delivering the targeted return on investment.

REGULATORY ENVIRONMENTThe National Ports Act, No. 12 of 2005 (Ports Act) represents the enabling legislation for Port Terminals and promulgates the parameters within which terminals operate in South Africa. Port Terminals has developed a Compliance Risk Management Plan, as well as a Critical Control Framework and the Control Self Assessments (CSAs) for the Ports Act. The CSAs are rolled out across the business on an annual basis, and ensure compliance with the Ports Act and Terminal Operator Licences issued.

Port Terminals has been issued with Terminal Operator licences with effect from 1 July 2012 at all terminals (as per the Ports Act), except at the Port of Ngqura. Port Terminals subsequently received the licences to handle containers and bulk at the Port of Ngqura.

PERFORMANCE CONTEXTDuring the year, volumes were under pressure in most segments, mainly due to the global economic downturn. Declining commodity prices are negatively impacting South African exporters’ ability to sustain operations. High inflation, interest rates, and foreign exchange rates have led to lower levels of disposable income for domestic households, decreasing the demand for imported goods. Should this trend continue, there could be an adverse impact on Port Terminals’ volume throughput in the long term.

Difficult local and global economic conditions resulted in muted performance for the division in 2016. The main contributing factors were the declining commodity prices and the depreciation of the Rand/Dollar exchange rate. Revenue for the year was R10,2 billion (target: R11,1 billion) and EBITDA was R3,0 billion (target: R3.4 billion).

OPERATIONAL PERFORMANCECore initiatives for 2016

� Target EBITDA of R3,4 billion in 2016. � Invest R1,7 billion in both new and existing port

infrastructure. � Volume targets for the 2016 financial year:

ú Containers: 4,9 million TEUs; ú Bulk cargo: 86,1 million tons; ú Break-bulk cargo: 15,8 million tons; and ú Automotive units: 650 821.

� Improve efficiency by increasing the moves per ship working hour (SWH) across all container terminals from an average of 49 to 52 moves.

0000

PORT TERMINALS drives growth and expansion to increase

Transnet’s footprint in Africa by connecting existing and

new markets.

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Port Terminals

2015 2016 2016 2017Key performance area and indicator Unit of measure Actual Target Actual Target

Train turnaround time

DCT – Pier 1 hours 3,3 ≤4 2,9 4DCT – Pier 2 hours 3,3 ≤4 2,6 4CTCT hours 1,0 ≤4 1,1 4Saldanha minutes 112,3 ≤109 108 109Richards Bay hours 7,9 ≤11 8,3 11Port Elizabeth hours 9,4 ≤12 9,3 12

Truck turnaround time

DCT – Pier 1 minutes 43,8 ≤35 37 35DCT – Pier 2 minutes 5,6 ≤35 40 35CTCT minutes 17,3 ≤35 18 35NCT minutes 35,3 ≤35 32 35RB MPT (Bulk) minutes 26,8 ≤35 24 35

Loading rate (per hour)

Saldanha Iron Ore Terminal2 tons 7 954 8 094 8 215 8 094RB DBT – Loading tons 761 755 810 760RB DBT – Offloading tons 493 480 538 500

Market segment competitiveness

Volume growth

Containers ’000 TEUs 4 571 4 895 4 366 4945Break-bulk mt 14,55 15,80 16,75 12,6Bulk mt 80,86 86,10 79,34 92,4Vehicles units 673 979 650 821 709 891 736 293

Tariffs

Average tariff increase4 % 8,11 9 8,6 9

Sustainable developmental outcomes

Human capital

Training spend % of personnel costs 3,00 2,40 2,14 1,9Employee turnover % 6,78 5,00 3,31 5Employee headcount3 total 7 061 9 419 9 210 9 783Revenue per employee (permanent) R million 1,38 1,23 1,34 1,47

Risk, safety and health

Cost of risk (% of revenue) % of revenue 2,96 3,25 3,24 3,2DIFR rate 0,36 0,74 0,61 0,72

1 Capital expenditure includes project savings and optimisation and excludes capitalised borrowing costs.2 Dual loading rate3 Total employee headcount includes fixed-term hourly employees for 2016. Previous years represented permanent employees only4 Container sectorn/a = Not applicable

Overview of key performance indicators

Table 1: Overview of key performance indicators

2015 2016 2016 2017Key performance area and indicator Unit of measure Actual Target Actual Target

Financial sustainability

EBITDA margin (%) % 30,5 30,80 29,7 34Operating profit margin (%) % 13,9 15,30 13,3 19Gearing (%) % 41,50 33,60 37,9 29,3Net debt to EBITDA (times) times 2,08 1,40 1,78 1,1Return on average total assets (%) % 7,9 10,2 7,7 13,5Asset turnover (times) times 0,56 0,66 0,56 0,71Cash interest cover (times) times 3,90 5,80 5,60 6,0

Capacity creation and maintenance

Capital expenditure1 R million 1 237 1 749 1 126 2 853

Operational excellence

Container dwell time

DCT – Pier 1

Imports days 2,5 ≤3 2,18 3Exports days 5,3 ≤5 4,73 5Transshipment days 8,4 ≤10 5,32 10

DCT – Pier 2

Imports days 1,9 ≤3 1,75 3Exports days 6,5 ≤5 5,00 5Transshipment days 8,5 ≤10 5,46 10

CTCT

Imports days 1,7 ≤3 2,03 3Exports days 4,2 ≤5 4,43 5Transshipment days 3,9 ≤15 6,5 15

Moves per gross crane hour

DCT – Pier 1 number 22,2 ≥26 25 26DCT – Pier 2 (Prime Berths – 108, 203 and 204) number 24,0 ≥30 26 32CTCT number 31,8 ≥32 32 32PE number 24,0 ≥25 26 25Ngqura number 26,8 ≥30 30 32

Container moves per ship working hour

DCT – Pier 1 number 48 46 53 53DCT – Pier 2 number 58 64 63 70CTCT number 49 55 54 55PE number 44 40 47 40Ngqura number 48 56 66 65

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Port Terminals

Financial performance review

Table 2: Financial performance review for the 2016 financial year

31 March 31 March2016 2015 %

Salient features R million R million change

Revenue 10 210 9 712 5,1– Containers 5 258 4 997 5,2– Bulk 2 927 2 887 1,4– Break-bulk 1 373 1 269 8,2– Automotive 652 559 16,6

Operating expenses (7 175) (6 746) 6,3– Energy costs (507) (526) (3,6)– Maintenance (319) (301) 6,0– Materials (411) (407) 1,0– Personnel costs (3 842) (3 523) 9,1– Other (2 096) (1 989) 5,4

Profit from operations before depreciation, de-recognition, amortisation and items listed below (EBITDA) 3 035 2 966 2,3Depreciation, de-recognition and amortisation (1 675) (1 615) 3,7Profit from operations before items listed below 1 360 1 351 0,1Impairments and fair value adjustments 115 (101) >100Net finance costs (479) (514) (6,8)Profit before taxation 996 736 35,3Taxation (315) (248) 27,0Profit after taxation 681 488 39,5Total assets (excluding CWIP) R million 18 229 17 318 5,3

Profitability measuresEBITDA margin1 % 29,7 30,5 (0,8)Operating margin2 % 13,3 13,9 (0,6)Return on average total assets (excluding CWIP)3 % 7,7 7,9 (0,2)Asset turnover (excluding CWIP)4 times 0,56 0,56 –Capital investments5 R million 1 126 1 237 (9,0)

EmployeesNumber of employees (permanent) number 7 370 7 061 4,4Revenue per employee R million 1,39 1,38 0,37

1 EBITDA expressed as a percentage of revenue.2 Profit from operations before impairment of assets, fair value adjustments, net finance costs and taxation expressed as a percentage of revenue.3 Profit from operations before impairment of assets, fair value adjustments, net finance costs and taxation expressed as a percentage of average total

assets excluding capital work in progress.4 Revenue divided by average total assets excluding capital work in progress.5 Actual capital expenditure (replacement + expansion) excluding borrowing costs and including capitalised decommissioning liabilities.

PERFORMANCE COMMENTARYFinancial sustainability

� Revenue grew by 5,1% to R10,2 billion (2015: R9,7 billion), however, this was 8,1% below the budgeted revenue of R11,1 billion. Below-target results were driven by poor performance in the container and bulk segments.

� Port Terminals achieved savings of R496 million against budgeted operating expenses of R7,7 billion. This was mainly attributable to management initiatives to reduce costs, as well as volume-related savings.

� Operating expenses grew by 6,3% year-on-year to R7,2 billion. This can be attributed to: ú Personnel costs increased by 9,1% due to wage

increases, incentives and the employment of fixed-term hourly (FTH) workers;

ú Materials and maintenance costs increased by 3,1% due to increased maintenance on ageing equipment; and

ú Other operating costs increased by 5,4% as a result of tariff increases in respect of land rentals, rates and taxes, and electricity.

� EBITDA increased by 2,3% to R3,04 billion from R2,97 billion in the previous year. This was mainly as a result of lower volumes being offset by savings in operating expenses. The EBITDA margin reduced marginally from 30,5 to 29,7 due to the lower-than-expected revenue earned.

� Return on average assets decreased marginally to 7,65% from 7,9%. This is due to the lower-than-expected revenue earned, as well as the significant increase in total assets.

� Revenue per employee remained flat, as revenue and headcount grew proportionately.

Looking ahead � Port Terminals anticipates an increase in revenue of

20% to R12,3 billion in the 2017 financial year. � Operating expenses and EBITDA are expected to

increase by 12,7% and 37,4% respectively. � In the current economic environment, the revenue and

EBITDA budgets are at risk, resulting in the need for strategic revenue and cost-saving initiatives to ensure that the required growth is achieved.

Capacity creation and maintenance

� Capital expenditure for the year at R1,1 billion was 35,3% below budget of R1,7 billion, as a result of project optimisation and savings.

� Capacity at the Saldanha multi-purpose terminal increased from 4mtpa to 8mtpa as a result of the change in volume mix of iron ore and manganese to support high throughput rates.

Looking aheadThe capacity creation projects that will facilitate volume growth include:

� The Cape Town Phase 2B project involves resurfacing work and the acquisition of four RTGs. This will increase the terminal’s capacity by 400 000TEUs, from 900 000TEUs to 1 300 000TEUs, from 2020 onwards;

� The Ngqura Container Terminal Phase 2B project involves the acquisition of 10 RTGs and three STS cranes, which will increase the terminal’s capacity by 350 000TEUs, from 1 500 000 to 1 850 000 in 2025. Although this project will have started within the seven-year Corporate Plan window, the additional capacity will only be realised after the seven-year planning timeframe;

� Berth 205 extension (along with the berth deepening at Durban Pier 2) will restore capacity to 2 900 000TEUs;

� The Durban Pier 1 Phase 2 expansion project (also known as the Salisbury Island project) will increase the terminal’s capacity by 1 320 000TEUs, from 680 000TEUs to 2 000 000TEUs per annum in 2024;

� The Saldanha iron ore terminal will be expanded from 60mtpa to 72mtpa. The timing of this project will be demand dependent;

� Capacity will be expanded in the automotive sector in Durban, increasing the capacity of the Durban Car Terminal by 160 000 units, from 520 000 units to 680 000 units per annum; and

� The Richards Bay Dry-bulk Terminal will see the conversion of Berth 702 from import to export in order to cater for higher export volumes.

Market segment competitiveness

Containers � Container volumes performed 10,8% below budget,

declining by 4,5% year-on-year. Volumes in the container sector were impacted by weaker demand, both locally and internationally, as a result of the global economic slowdown.1 This, in turn, resulted in reduced transhipments, smaller parcel sizes and the cancellation of some services.

� Import volumes were also 11% below budget, largely driven by the depressed domestic economy, which has resulted in decreased demand. In addition, anticipated Christmas peak volumes did not materialise.

1 Globally, container traffic grew by 0,8% at the world’s 30 busiest ports, the smallest increase since the 2009 recession, according to the latest data published by Alphaliner.

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Port Terminals

� Export container volumes were 10% below budget for the year. This is largely due to the slowing international economy, particularly in South Africa’s main export destinations. A lack of demand for mineral bulk commodities, due to low commodity prices, has also impacted the containerised export of minerals.

� Transshipment volumes declined significantly as shipping lines looked to streamline their routes and minimise port calls to save costs. Volumes have also been impacted by other African countries’ ability to pay for imports of general goods from South Africa.

� The Cape Town container terminal performed 6% above budget, boosted by positive performance in reefers and empty evacuations.

� The Durban container terminals achieved a 1,6% year-on-year improvement, but were still 11% below the 2016 budgeted volumes. In addition to the challenging domestic and global economic environments, the terminals were impacted by berth outages and a lower draft, which limits the shipping lines’ ability to bring in additional transshipment volumes. Volumes were boosted by high reefer volumes and empty evacuations earlier in the year.

� The Ngqura container terminal was the most severely affected by the global economic downturn, handling 30% less than its budgeted volume. This terminal operates primarily as a transshipment hub and shipping lines have consolidated many of the services calling at this terminal in an effort to reduce their operating costs, with many opting to bypass the terminal.

Bulk � Volumes in the bulk sector performed 8% below

budget for the year. Bulk export commodities were negatively impacted by declining commodity prices due to low international demand for bulk minerals. In addition, the bulk sector has been further impacted by local drought conditions.

� Iron ore volumes were impacted by falling commodity prices, which resulted in mines reducing their output and cancelling vessels. Two derailments on the iron ore line during in the year, resulted in a loss of 1,4mt.

� Manganese volumes were negatively impacted by low commodity prices which has resulted in customers reducing their output. Volumes were also impacted by two derailments during the year.

� The Richards Bay Dry Bulk Terminal was also impacted by the drop in commodity prices, with customers reducing output and cancelling vessels.

� The agricultural terminals in Durban and East London were affected by the reduction in export grain due to the drought, but will get marginal relief from grain imports to meet local demand.

Break-bulk � Break-bulk volumes were 6% above budget during the

year. The positive performance led to a 15% increase in volume throughput compared to the previous year.

� Saldanha’s multi-purpose terminal performed 19% above budget, boosted by positive performance from manganese and iron ore early in the year, as well as unbudgeted metcoke volumes.

� Unbudgeted grain imports resulting from a response to drought conditions in South Africa boosted performance at the Cape Town and Port Elizabeth multi-purpose terminals.

� The Durban multi-purpose terminal performed 22% above budget due to high volumes of both steel imports and exports.

� The Richards Bay multi-purpose terminal performed 3% below budget having been impacted by lower commodity prices, which affected many of the terminal’s export commodities.

Automotive � Automotive volumes performed 9% above budget in

2016, and grew by 5,3% from the previous year. � All automotive terminals exceeded their budget,

boosted by high export and transshipment volumes. � Import volumes, however, performed below budget

due to depressed domestic demand and a decline in sales. The downward trend is expected to continue into 2017.

Looking ahead � Port Terminals will continue to focus on customer

relationship management across all the sectors to ensure that customers are satisfied with the service they receive from the division.

Containers

� Port Terminals plans to handle more than 4,9 million TEUs in the year ahead.

� Global roadshows will be conducted to meet the decision makers of major shipping lines, with the intention of increasing container volumes.

� Port Terminals will engage strategic shipping lines locally to ensure that desired customer satisfaction levels are achieved and anticipated volumes are realised.

� In line with delivering on customer expectations, Port Terminals will continue to increase SWH to turn vessels around faster.

� Transshipments will be aggressively marketed at local, regional and international levels.

� Close collaboration with Freight Rail will strengthen the container terminals as gateway terminals to serve both domestic and regional economies.

� The berth deepening project at the Durban Container Terminal will see the deepening and lengthening of the North Quay.

Bulk

� Port Terminals plans to handle 92,4 million tons of bulk commodities in the year ahead.

� New customers who require their commodities imported or exported via Port Terminals will be sought.

� Maize and wheat volumes will be increased at Durban Agriport and at the East London Grain Elevator through agricultural private sector partnerships (PSPs).

� Port Terminals will create capacity through operational efficiencies and infrastructural development.

� Collaboration with Freight Rail and the National Ports Authority will improve operating efficiencies and create value for customers through Transnet Value Chain Co-ordination (TVCC) initiatives.

� Integration between Operating Divisions will be driven through the integrated Key Account Management process.

� Port Terminals will market the capacity at the Ngqura Manganese Export Terminal.

� Competitive cost structures will be maintained to attract and retain volumes.

Break-bulk

� Port Terminals plans to handle 12,6 million tons of break-bulk commodities in 2017.

� New commodity import and export customers will be identified.

� Capacity will be increased through operational efficiencies and by enhancing service offerings.

� Competitive value propositions will be developed for the break-bulk sector.

� Port Terminals will explore opportunities to provide customers with complete logistics solutions through supply chain integration.

Automotive

� Port Terminals plans to handle 736 293 automotive units in the year ahead.

� Additional capacity will be created by expanding operations at the Durban Ro-Ro Terminal.

� Opportunities for ‘back-of-port’ activities - and service offerings such as warehousing and auxiliary value-adding services - will be explored.

� Port Terminals will explore opportunities to offer integrated contracts for key customers.

Operational excellence

� Port Terminals’s primary measure of operational efficiency, SWH has shown significant improvement across all terminals compared to the previous year. The average SWH across the container terminals has improved from 49 to 57 moves in 2016. The positive performance across all terminals resulted from focused efforts to turn vessels around faster.

� The container terminals achieved an average moves per gross crane hour (GCH) of 28 moves in 2016, improving from the 26 moves achieved in the previous year. Performance improved in the latter half of the year as a result of the implementation of operational improvements.

� Container dwell times were maintained below target at all terminals throughout the year.

� The average truck turnaround time for container terminals was 31,8 minutes against a target of 35 minutes.

� The container terminals reduced their train turnaround time to below the targeted four hours, while the bulk terminals at Saldanha, Port Elizabeth and Richards Bay maintained train turnaround times below the targets of 109 minutes, 12 hours and 11 hours respectively.

� Loading rates at the bulk terminals improved with the Saldanha Iron Ore terminal maintaining its loading rate above the target of 8 094 tons per hour. The Richards Bay Dry-bulk terminal loading rate of 810 tons per hour exceeded its target of 755tph. It also achieved an offloading rate of 538 tons per hour, exceeding the target of 480tph.

Looking ahead � Port Terminals will seek to increase SWH to 57 moves

in the 2017 financial year by focusing on the following efficiency improvements: ú Maximising crane deployment across vessels; ú Reducing cycle times; ú Working collaboratively with shipping lines to

optimise stowage to improve twin and tandem lift operations;

ú Express loading of empty containers through twin and tandem lift operations;

ú Effective yard planning to minimise the delays caused by the re-handling of containers in the stack;

ú Leveraging technology to enable more efficient planning of vessels; and

ú Reducing equipment downtime.

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Port Terminals

� Truck turnaround time will be maintained below the target of 35 minutes.

� Port Terminals will continue to engage customers in an effort to reduce container dwell times and increase capacity.

� Train turnaround times will be maintained below four hours at the container terminals, 11 hours at the Port Elizabeth Bulk Terminal, 12 hours at the Richards Bay Dry Bulk Terminal and below 109 minutes at the Saldanha Iron Ore Terminal.

� Port Terminals will facilitate improvements to operational efficiencies across all sectors by improving equipment and plant availability.

Human capital

� Black employees represented 85% of the total employee base (target: 80%).

� Female employees represented 26% of the total employee base (target: 37%).

� People with disabilities represented 1,4% of the total employee base (target: 2,5%).

� Port Terminals achieved its objective of obtaining a Level 2 B-BBEE scorecard rating.

Organisational readiness

Skills development � Port Terminals spent 2,14% of its total labour bill on

the training of employees and skills development. � A total of 2 190 employees received sector-specific

training which related to operator lifting equipment, operator bulk handling equipment and cargo coordination.

� Overall, 529 managers and supervisors participated in various leadership programmes.

� A total of 320 artisans were assessed on Outcomes-Based Modular Learning (OBML).

Health and safety � Port Terminals achieved a DIFR of 0,61 (target: 0,75). � Port Terminals achieved a 90,34% rating in the year’s

NOSA audits, with nine terminals achieving 5-star ratings and eight terminals obtaining 4-star ratings.

Governance and ethics

Environmental stewardship � The two new Head Office buildings have been completed

to incorporate a ‘green design’. The buildings provide benefits such as energy efficiency, greenhouse gas abatement, water efficiency and conservation, waste avoidance, reuse and recycle, reduced natural resource consumption and enhanced indoor environmental quality.

� Port Terminals has embedded sustainability into business processes, including Project Lifecycle Process (PLP), supply chain management and risk management. All new projects, including mega projects, are adhering to sustainability requirements.

Social accountability � Port Terminals marked the 16 Days of Activism against

the Abuse of Women and Children, with Head Office employees participating in a march to create awareness.

� During the year, Port Terminals’ employees donated hundreds of pairs of new school shoes that were handed over to disadvantaged schools.

� Port Terminals’ employees also donated 5-litre bottles of water to aid drought-stricken areas across KwaZulu-Natal.

Table 3: Transnet Port Terminal’s top 5 risks and key mitigating activities

Key risks Mitigation activities

Inability to attract and sustain additional volumes as new capacity is created

� Secure volumes through long-term contracts with customers. � Engaging shipping lines to market the available capacity internationally. � Implement the Transshipment Growth Strategy. � Develop an inland depot at Pendoring to facilitate chrome exports.

Economic uncertainty: deterioration of the macroeconomic environment

� Continuous monitoring of both domestic and international economic trends and the impacts on Port Terminals.

� Identify threats and opportunities resulting from changes in the macroeconomic environment.

� Identify and implement cost-reduction initiatives.

Operational inefficiency � Ensure planned maintenance is executed to improve equipment reliability and availability.

� Implement productivity improvement plans. � Identify and minimise controllable delays to improve cycle times.

Capital affordability risk: inability to generate sufficient funds to support capital expansion

� Optimise the capital investment plan in line with affordability levels. � Identify and execute organic growth projects. � Minimise delays in the approval and execution of capital projects.

Business continuity risk: ageing critical equipment and infrastructure and unavailability of business-critical systems

� Business continuity plans are in place. � Robust maintenance plans are in place and critical spares are replenished in a

timely manner. � Minimise delays in the execution of capital projects. � Redesign the network to cater for redundancies. � Review and redesign the EIMS architecture. � Regular testing of the Disaster Recovery plan.

OPPORTUNITIES � There is growing demand for Port Terminals’ current services, as well as opportunities to expand service offerings

across the transport value chain. ‘Back-of-port’ opportunities are being explored to offer warehousing and value-add services in the container and automotive segments.

� Operational and planning efficiencies can be improved by collaborating with major shipping lines. � Opportunities are being explored to provide a short sea-shuttle service within Port Terminals’ network of terminals. � Transnet’s regional integration strategy will be supported by Port Terminals by applying the division’s sector

strengths and capabilities to countries on the continent. � Transnet is exploring PSP opportunities to reduce Port Terminals’ funding and operational requirements, and to

leverage partner capabilities for mutual benefit. � The TVCC continues to facilitate improvements in operational efficiencies and logistics integration between ports

and rail.