CORPORATE ANNOUNCEMENT

31 January, 2002

MOL to Consolidate Training Centers in the Philippines

TOKYO - Mitsui O.S.K. Lines, Ltd. today announces plans to consolidate its two training centers in the Philippines in a move to ensure higher quality training aimed at ensuring safe navigation and environmental protection.

Effective February 1, the MOL Training Center (Philippines), officially called the Magsaysay Institute of Shipping, will handle all training in the Philippines for MOL merchant mariners.

The center has 27,000m2 of site with a four-story building housing 12 classrooms, a three-story dormitory, large meeting hall, and machine shop. In addition, it offers advanced training facilities to offer realistic training experiences, including a new main engine remote control simulator, a steering simulator, a radar with automatic radar plotting aids (ARPA) simulator, various refrigerated container units, diesel engines, hydraulic oil system unit, cargo pump, lathes and welding equipment, and a range of navigation, deck, and engine room equipment.

The center is designed to provide a broad range of skills for both beginning and experienced mariners.

In the Philippines, the basic training program for cadet who requires three years of study at a maritime school, followed by one year of on-the-job training aboard a merchant vessel. MOL has developed an extensive four-month training program to ensure solid skills before on-the-job training aboard a merchant ship.

The program includes safety training and other practical skills for various ratings; specialized skills for officers and engineers in navigation, cargo handling, and engine operation. In addition, the center offers courses focusing on liquefied natural gas (LNG) and crude oil operations, tailored to the needs of both beginning and experienced mariners.

MOL will transfer all of equipment, instructors, and courses from a facility in Manila to the MOL Training Center in Cavite, a suburb of Manila. The predecessor of the present MOL Training Center (Philippines) was established in 1991 by MOL, Magsaysay Maritime Corp., Fairmont Shipping, and the other company as Magsaysay Institute of Shipping. In 2000, it was renamed as the MOL Training Center (Cavite) and work began to upgrade the training programs. The center has 15 instructors and provides training to 1,500 seamen and more than 100 cadets every year.

The other training center, previously operated by Navix Line, which merged with MOL in 1999, is located in Manila. Following the merger, it was renamed the MOL Training Center (Manila). It has six instructors and trains about 600 seamen a year, mainly in LNG and crude oil carrier operations.

The consolidation of the training centers will allow MOL to offer more effective training with more advanced equipment and facilities. A new machine shop is now under construction to provide more space for instruction in maintaining and overhauling marine equipment.

The MOL Training Center (Japan) in Chiba also offers a range of training programs under the instruction of seasoned captains and chief engineers. Last November, it underwent a major renovation, with the addition of a third LNG simulator and upgrades to one of the best existing training centers.

In addition, MOL has been utilizing the know-how developed at its training centers in Japan and the Philippines to promote the skills of mariners in its worldwide fleet.

For more information, please contact: Masakazu Kobayashi, Manager, International Seafarers Group (in charge of education)Marine Division, Mitsui O.S.K. Lines, TEL:03-3587-7004, FAX:03-3587-7772, E-mail: sfgmo@mail.mol.co.jp.