2014

The Carlyle Group Acquires Majority Stake In CSX Lines For $300 Million; Ocean Transport And Logistics System Is Largest In Nation

    WASHINGTON, Dec. 17 /PRNewswire-FirstCall/ -- Global private equity firm
 The Carlyle Group today announced that it has agreed to acquire a majority
 stake in CSX Lines, LLC from the CSX Corp. (NYSE:   CSX) in a transaction valued
 at $300 million.  Current CSX Lines President and CEO Charles G. (Chuck)
 Raymond and his management team will remain in place and the new entity will
 be called Horizon Lines, LLC.  Mr. Raymond will also serve as Chairman of the
 company's board.
     CSX Lines, with 17 U.S. flag vessels and 22,000 containers, is the
 nation's largest ocean transport company, providing ocean transportation and
 logistics services to and from the continental United States, Alaska, Hawaii,
 Guam, and Puerto Rico.
     Carlyle Managing Director Greg Ledford said, "CSX Lines is a well-managed
 company that has a bright future.  We look forward to working with Chuck
 Raymond and his seasoned team in the coming years to further unlock CSX Line's
 great potential.  CSX Lines complements Carlyle's growing transportation
 portfolio."
     CSX Corp. President Michael J. Ward, said, "This is a terrific transaction
 for all parties.  Completion of this transaction is consistent with our oft
 and long-stated strategy of becoming a more rail-based organization."
     Charles G. Raymond said, "We are excited about working with The Carlyle
 Group and benefiting from its transportation experience and financial
 expertise and support.  We expect to grow profitably and maintain our position
 as the nation's largest and most successful ocean shipping company."
     The equity for this transaction will come from Carlyle Partners III, L.P.,
 Carlyle's flagship U.S. Buyout Fund.  The transaction is subject to customary
 conditions and regulatory approval and is expected to close in the first
 quarter of 2003.
 
     About The Carlyle Group
     The Carlyle Group is a global private equity firm with more than $13.9
 billion under management.  Carlyle generates extraordinary returns for its
 investors by employing a conservative, proven, and disciplined approach.
 Carlyle invests in buyouts, real estate, high yield, and venture in the United
 States, Europe, Japan, and Asia, focusing on aerospace and defense, consumer,
 industrial, energy, healthcare, technology, and telecommunications and media.
 Since 1987, the firm has invested $7.2 billion and achieved a realized
 internal rate of return of 36 percent.  The Carlyle Group employs 510 people
 in 21 offices in 11 countries.  Visit www.carlyle.com for additional
 information.
 
     About CSX Lines
     Based in Charlotte, N.C., CSX Lines has 20 offices in the United States,
 Puerto Rico, and Guam and has approximately 1,600 employees.  The company
 provides domestic ocean liner services and operates 17 U.S. Flag vessels and
 22,000 containers along six service routes between the continental United
 States and Alaska, Guam, Hawaii, and Puerto Rico.  CSX Lines also operates
 terminals in Anchorage, Kodiak and Dutch Harbor, Alaska; Honolulu; San Juan,
 Puerto Rico, and Apra, Guam.  CSX Lines also owns Horizon Services Group, a
 diversified offering of cargo management and tracking services being marketed
 to shippers, carriers and other supply chain participants.  Following its
 acquisition by The Carlyle Group, CSX Lines will begin phasing in its new
 name, Horizon Lines, LLC.
 
     About CSX
     CSX Corp., based in Richmond, Va., operates a major rail network covering
 the eastern half of the United States.  It also owns CSX World Terminals,
 which manages and has substantial interests in container terminals in Asia,
 Europe, and Latin America.
 
                      MAKE YOUR OPINION COUNT - Click Here
                http://tbutton.prnewswire.com/prn/11690X23278314
 
 

SOURCE The Carlyle Group
RELATED LINKS
http://www.csx.com

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.