CRAIG T. KOJIMA / CKOJIMA@STARBULLETIN.COM George Pasha IV, Buzzy Hong and George Pasha III held a photo of the new ship MV Jean Anne yesterday, with Honolulu Harbor in the background. The ship will begin carrying vehicles between Hawaii and the West Coast beginning in March.

Pasha to start serving
Hawaii in March

The new competitor will
primarily ship automobiles

CORRECTION Tuesday, December 28, 2004 » A story on Page C1 Dec. 10 incorrectly said that Pasha Hawaii Transport Lines has a government contract to ship military and civilian vehicles. Although the company intends to compete for military business, it does not have a contract. The Honolulu Star-Bulletin strives to make its news report fair and accurate. If you have a question or comment about news coverage, call Editor Frank Bridgewater at 529-4791 or email him at corrections@starbulletin.com.

Hawaii residents and businesses will soon have another way to ship vehicles when Pasha Hawaii Transport Lines enters the isle hauling market, which has long been dominated by Matson Navigation Co. and Horizon Lines.

Full speed ahead The 579-foot MV Jean Anne will start serving Hawaii in March. Capacity: Can carry up to 3,000 vehicles Speed: 20 knots Cost: $90 million

The Pasha Group, a family-owned California-based global company with nearly 60 years of experience in transportation and logistics, announced plans yesterday to take on Hawaii's trans-Pacific shippers with its new ship, the $90 million MV Jean Anne, which is to arrive in March.

"The Jean Anne's maiden voyage in 2005 will be a landmark in the history of shipping in Hawaii, offering a dedicated automotive shipping solution for Hawaii residents and businesses," said George W. Pasha IV, president of Pasha Hawaii Transport Lines.

Pasha Hawaii, which plans to open a Honolulu office and hire several local employees, will primarily target the automotive manufacturing and rental car industries, though the company also has a government contract to transport personal vehicles for military and government employees. The company will also offer auto-shipping alternatives to residents.

The MV Jean Anne will make stops in Honolulu; Kahului, Maui; Hilo, Big Island; and Nawiliwili, Kauai, which will shave about a week of shipping time for the neighbor islands, Pasha said.

"Our new service will provide an efficient shipping alternative, which will result in reduced congestion at Honolulu's busy harbors," he said.

The 579-foot MV Jean Anne can carry up to 3,000 vehicles and travel at speeds approaching 20 knots. The vessel is a RoRo ship, the industry term for "roll-on, roll-off," with a stern ramp capable of handling up to 100 tons as vehicles are driven on and off.

The new service is the result of a joint venture between the Pasha Group and Strong Vessel Operators LLC, a Connecticut-based ship operator.

Pasha Hawaii first announced plans to break into the Hawaii-mainland vehicle shipping market in 2000, and had planned to begin operations in 2002 but was delayed when the Mississippi shipyard building the company's vessel went bankrupt.

Now that the economic climate has changed, Pasha Hawaii will begin its service with the transport of Chrysler vehicles aboard the MV Jean Anne. Although Matson handles Chrysler's eastbound vehicles, Pasha recently received a multi-year contract to ship Chrysler Group's westbound vehicles.

The company, which has serviced brands such as Lotus, Volvo, Audi, GM, Volkswagen and Honda in California, is in discussions with several automotive manufacturers regarding their Hawaii shipments, Pasha said.

Pasha's entry into the market has already got Hawaii's shippers talking. Late last month, Alexander & Baldwin Inc., Matson's parent company, said in a financial filing that Pasha's entrance into the Hawaii market "will have a disruptive effect."

Since Pasha Hawaii has not announced plans to get into the container business, the company is less of a threat to Horizon Lines, said Kuuhaku Park, government and public affairs manager for Horizon Lines.

"Initially, Matson will feel the brunt," Park said. "However, competition is healthy. We have good service now, but this will make sure our service stays at a high level."

Jeff Hull, a Matson spokesman in San Francisco, said yesterday that the shipper "wants to continue to carry the majority of Hawaii's vehicles and containers."

Last year, Matson moved 145,200 vehicles and 162,400 containers to and from Hawaii, Hull said.

"Matson has long relationships with GM, Ford, Toyota, Mercedes Benz and BMW," Hull said. "We've been serving Hawaii since 1882 and we feel our service is superior."

Windward Ford/Windward Mazda on Oahu has long used Matson and is satisfied with the service, said President Mark Caliri. However, having alternatives is always nice in business.

"If something happens at Matson, like the strike that took place last year, having a third option would ease our pain," Caliri said. "We had lots of cars just sitting at the mainland."