Sea Containers Ltd. yesterday announced reduced earnings for the quarter and nine months ending September 30, 2001 due to events such as the September 11 attacks on the US and the foot-and-mouth crisis in the UK.

Net earnings for the quarter were $6.6 million, $0.35 per common share from revenue of $356.3 million, while net earnings for the nine months were $13.6 million, $0.73 per common share from revenue of $974 million.

Net income and revenue were substantially down from a year earlier due to special factors, particularly the absence of gains on sales of securities which contributed $36 million to net earnings in the third quarter of 2000, and loss of revenue in the company's ferry business in the latest quarter due to foot-and-mouth disease in the United Kingdom. Operating profits from marine container leasing were down due to lower rental rates for older units, and income from leisure investments was also lower due to the effects of the September 11 terrorist attacks in the US.

Company president James Sherwood said the company has been unable to meet its earnings targets for 2001 as it entered the year with Britain's rail system disrupted, which was then worsened by the Selby rail crash on February 28.

Then came the onslaught of foot and mouth disease in the UK which more or less closed down the Isle of Man to tourism and greatly reduced ferry passenger arrivals from Ireland and the Continent into Great Britain. Sluggish world trade reduced demand for older marine containers and the September 11 incidents hit worldwide tourist and business travel to the detriment of the company's Orient-Express Hotels subsidiary.

Mr. Sherwood said: "It is useless to go into further detail as to the reasons for the company's performance in 2001. Instead, we should look ahead to 2002 where I think the picture is much more promising."