London, England - May 10, 2006 - Stolt-Nielsen S.A. (NasdaqNM: SNSA; Oslo Stock Exchange: SNI) announced today that its wholly owned subsidiary, Stolt-Nielsen Transportation Group (SNTG), has acquired two parcel tankers, each of approximately 8,600 deadweight tons, to meet growing customer demand in the Company's inter-European service. The sisterships M/T Bow Wave and M/T Bow Wind, previously on time charter to Odfjell ASA, were purchased from Iino Lines for $18.5 million each. SNTG expects to take delivery of the ships between July and November of this year.
"Capitalizing on opportunities to acquire high-quality ships on the open market is an effective way of helping to meet our fleet replenishment needs at a time when newbuildings' prices remain high," said Otto H. Fritzner, Chief Executive Officer of SNTG. "These ships will enhance the flexibility of SNTG's European short-sea fleet, and hence our ability to continue to satisfy our customers' stringent demands for the utmost in safety, quality and reliability."
Both ships were built to IMO II standards in 1999 by the Usuki Shipyard Co. Ltd. of Japan. Features include double hulls, fully stainless steel tanks, and 20 segregations per ship. M/T Bow Wave and M/T Bow Wind will be renamed M/T Stolt Skua and M/T Stolt Teal, respectively.
About Stolt-Nielsen S.A.
Stolt-Nielsen S.A. (the "Company") is one of the world's leading providers of transportation services for bulk liquid chemicals, edible oils, acids, and other specialty liquids. The Company, through the parcel tanker, tank container, terminal, rail and barge services of its wholly owned subsidiary Stolt-Nielsen Transportation Group, provides integrated transportation for its customers. Stolt Sea Farm, wholly owned by the Company, produces and markets high quality turbot and Southern bluefin tuna.
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements may be identified by the use of words like "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "project," "will," "should," "seek," and similar expressions. The forward-looking statements reflect our current views and assumptions and are subject to risks and uncertainties. The following factors, and others which are discussed in our public filings and submissions with the U.S. Securities and Exchange Commission, are among those that may cause actual and future results and trends to differ materially from our forward-looking statements: the general economic conditions and competition in the markets and businesses in which we operate; changes in the supply of and demand for parcel tanker, tank container and terminal capacity in the markets in which we operate; changes in the supply of and demand for the products we transport, particularly the bulk liquids, chemicals and other specialty liquids that form the majority of the products that we transport; prevailing market rates for the transportation services that we offer and the fish products that we sell; changes in bunker fuel prices; the cost and feasibility of maintaining and replacing our older ships and building or purchasing new ships; uncertainties inherent in operating internationally; the outcome of legal proceedings; Stolt-Nielsen S.A.'s relationship with significant customers; the outcome of discussions with customers concerning potential antitrust claims; the impact of negative publicity; environmental challenges and natural conditions facing Stolt-Nielsen S.A.'s aquaculture business; impact of laws and regulations; and operating hazards, including marine disasters, spills or environmental damage; the conditions and factors that may influence the decision to issue future dividends, the market for long-term debt. Many of these factors are beyond Stolt-Nielsen S.A.'s ability to control or predict. Given these factors, you should not place undue reliance on the forward-looking statements. Should one or more of these risks or uncertainties occur, or should management's assumptions or estimates prove incorrect, actual results and events may vary materially from those discussed in the forward-looking statements.
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