and lessor of marine containers, is set to buy 51 percent of the common and voting shares of Neptun Maritime.

Neptun owns 100 percent of Silja Line which operates a nine-ship fleet conducting passenger, car and freight ferry operations between Finland and Sweden, Finland and Estonia and Finland and Germany via Estonia.

In addition, Neptun owns three modern cruise vessels, two of which operate under charter in the Caribbean and one in Hong Kong also under charter. The transaction is subject to approval from the competition authorities in Finland and Sweden which will take several weeks. Each of the selling shareholders will have the option to sell the balance of its shareholdings to Sea Containers three years after completion of the transaction at a lower price per share but are free individually to dispose of such shares in the meantime.

These shareholders today own approximately 75 percent of Neptun's common shares. If Sea Containers acquires more than two thirds of Neptun's voting rights it will be obliged under Finnish law to make a bid for the entire company.

In 1998 Silja had revenue of $590 million and after tax profits of $28 million. Mr. Sherwood said that based on Neptun management's forecast of 1999 earnings the investment should produce substantial earnings for Sea Containers in 1999 after deducting the cost of debt taken on in connection with the share purchase. Neptun has consolidated debt of approximately $600 million and its lead bank has indicated a willingness to syndicate a re-financing of the company to stretch out principal repayments.

In 1998 Silja carried 5.8 million passengers and 123,000 freight units. It had a market share of 61 percent for passengers on mainland Finland/Sweden routes.

The company deploys 4 passenger vessels on the Stockholm/Helsinki and Stockholm/Turku routes as well as two freight and passenger roll-on, roll-off ships on Turku/Stockholm.