April 21, 2009

Markell Announces Key Lease Extension at the Port of Wilmington; Unveils Plans to Help Del. Businesses

Governor calls for streamlined statewide business licenses, Economic Ombudsman

WILMINGTON – Governor Jack Markell on Tuesday announced a 10-year lease agreement between Höegh Autoliners, Inc. <http://www.hoegh.com/autoliners/> (Höegh) and the Diamond State Port Corporation. This agreement will keep Höegh at the Port of Wilmington and in the State of Delaware until at least 2019.

Höegh Autoliners is a leading global provider of Roll on Roll of (Ro/Ro) vehicle transportation services. The company operates 67 PCTCs (Pure Car Truck Carriers) in worldwide trade systems with an annual transportation volume of 2 million CEUs (Car Equivalent Units).

“Höegh is a growing company, and I am proud that a significant amount of that growth will be occurring at our Port.  This is welcome news during a time when our state is being hit especially hard by the downturn in the national economy,” Markell said. “My administration is working hard every day to make Delaware more attractive to businesses and more conducive to job creation because growing our economy is the only long-term solution to the historic challenges facing Delaware.”

Markell, who recently unveiled his Small Business LIFT to give Delaware companies critical access to operating capital, also announced on Tuesday two additional steps his administration will be taking to grow the state’s economy.

Markell said his administration will begin work this summer to create a single statewide business license, which will make Delaware one of the most effective places in the country to launch a responsible business and get people working.

To keep reliable businesses up and running, the Governor said he will create an Economic Ombudsman to review all burdensome regulations to see if they still serve a purpose and recommend their elimination if they do not. The Ombudsman will be an advocate for employers who are caught between state agencies or tangled in red tape, helping them grow and prosper.

“We can lead the nation’s economic recovery, because we can simply run faster than others,” Markell said. “There is no excuse for a state our size to make employers jump through several hoops before they can get to work creating real jobs. We have to use our size and speed to make Delaware the best place in the nation to start and grow a business.”

Last year, 64 Höegh vessels called at the Port of Wilmington loading nearly 67,000 GM automobiles, SUVs, used automobiles and rolling stock for the Middle East.  A recent economic impact analysis by Martin & Assoc. for the Port of Wilmington credits Höegh’s related cargo with the creation of nearly 600 jobs, $31.7 million in business revenue and $2.2 million in local and regional taxes.

“The Port of Wilmington is a strategic partner for the future of U.S. trades,” said Jim Butcher, Chairman of Höegh Autoliners Inc.  “We cannot depend on our vessels and people alone, we must continue to link with partners like the Port of Wilmington to ensure our success. Labor in Wilmington has been another major factor in our success, with its professional, quality approach to making working routines safe and efficient.”