Interim Report for the Six Months Ended June 30, 2007 (Unaudited)

Hamilton, Bermuda; September 18, 2007 -- Bermuda Container Line's net earnings for the first six months of 2007 decreased by $49,000 or 2.4% over the comparable period in 2006.  This decline in net earnings is all due to the unexpected costs incurred with the Oleander dry-docking in March/April of 2007.  The operating earnings of the NJ/Bermuda service declined by 69% due to the significant additional dry-docking costs.  This was partly offset by a significant increase in investment income which for BCL itself was up 175%.  BCL's share of the operating earnings of the Florida service were comparable to the previous year.

Operating earnings should improve in the second half of the year as the second half will not incur the high dry-docking costs but cargo volumes for the BCL service have been soft during the third quarter.  Unfortunately the improved operating earnings will be negatively impacted by poor investment returns at least in the third quarter due to the turmoil in the investment markets since the end of June.

Hamilton, Bermuda