Acquisition

Fisher (James) & Sons PLC 08 December 2003 For Release 8th December 2003 James Fisher and Sons plc Acquisition of Newbuilding Contracts James Fisher and Sons plc ('Fisher'), the leading marine services provider, announces that it has acquired two newbuilding contracts, each for a double hull 12,800 dwt Clean Petroleum Product Tanker, for a purchase consideration of USD 32 million. The ships will be built in Korea and are scheduled for delivery in September 2004 and January 2005. Fisher is currently negotiating to bareboat charter these vessels for a period of up to 10 years on competitive terms which will eliminate any residual risk for Fisher. It is expected that these charters will be finalised in the early part of 2004. The delivery of these ships in 2004 expedites Fisher's fleet development plans and enables Fisher to maintain the youngest fleet amongst operators on the UK coast. The proposed charter arrangements are in line with Fisher's plans to develop its fleet without the commitment of further capital and on competitive terms. This has become more attractive under the new tonnage tax regime with its minimal tax charge, because the Company no longer requires capital allowances from the purchase of its own ships. When delivered, these ships will be operated by James Fisher Tankships, the market leader in the UK coastal clean petroleum products market, operating a fleet totalling 18 ships and carrying over 6 million tonnes per year under contracts with major oil companies. Nick Henry, Managing Director of James Fisher Tankships, said: 'This order is a key part of our fleet development plans and represents a further commitment to provide quality tonnage to meet our customers' demands. These ships are destined for some of our important contracts and will significantly improve the operational flexibility of our fleet.' In his statement in the last Report and Accounts, Tim Harris, Chairman of James Fisher and Sons told shareholders: 'Tankships has developed close, long-standing relationships with its oil major customers and we see this coastal logistic service fitting well within our core competence as a marine service provider. We have continued our fleet modernisation programme during the year. This is a further step in our programme.' EC Hambro Rabben & Partners is acting as corporate finance advisor to Fisher. For further information contact Tim Harris James Fisher and Sons 0207 338 5808 Nick Henry James Fisher Tankships 0207 338 5808 Eivind Rabben EC Hambro Rabben & Partners 0207 355 4100 Peter Binns Binns & Co PR Ltd 0207 786 9600 This information is provided by RNS The company news service from the London Stock Exchange
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