FINANCIAL RESULTS 2007

MINOAN LINES - Net profits € 16.4 million in the company’s consolidated results
Proposed dividend € 0.05 per share

28/03/2008

The operating profitability of the Company was influenced for a third consecutive year by the dramatically high fuel prices which recorded an increase of 115.0% during the three year period 2005 – 2007. It should be noted that the fourth quarter of 2007 the increase in fuel prices was significantly increased by 55.0% in comparison with the respective period of 2006.

The Company
The revenues reached €195.7 million against € 206.7 million in 2006. This reduction is solely due to the fact that the Company ran its business activities with one vessel less (sale of H/S/F ARIADNE PALACE in December 2006) whose contribution to the revenues of 2006 was € 26.9 million. In 2007, with the exception of the aforementioned vessel’s sales, the revenues of the Company were increased by 8.9% compared with the respective ones in 2006.

Net profits before taxes and depreciations (EBITDA) were shaped at € 46.3 million against € 61.4 million in 2006. In the above operating profits (EBITDA) of 2006 the total amount of € 16.9 million is included which has been derived from the profits of the sale (€11.2 million) and the operation of H/S/F ARIADNE PALACE. It should be pointed out that despite the significant increase in fuel prices, the operating profitability (EBITDA), excluding the contribution of H/S/F ARIADNE in 2006, recorded an increase of 4.0% in 2007 versus the previous year.

The net profits of the Company after taxes were shaped at € 10.6 million against € 18.3 million in 2006. The management of MINOAN LINES will propose the distribution of dividend € 0.05 per share at the annual general meeting of its shareholders for the fiscal year 2007.

The Group
On a group level, the revenues for 2007 were shaped at € 195.9 million against € 206.9 million in 2006 while the operating profits (EBITDA) reached € 46.3 million against € 61.4 million in 2006.

The net profits were shaped at € 16.4 million against € 21.6 million in 2006. This differentiation, recorded and noted in the net results of the Group in comparison with the ones of the Parent Company, are due to the result of the affiliated company HELLENIC SEAWAYS the net profits of which were shaped at € 17.4 million in 2007 against € 10.2 million in 2006. Traffic Volumes

In the North Adriatic route (International routes / Ancona & Venice), MINOAN LINES, despite the fact that ran its business activities with four vessels less in 2007 against five in 2006, succeeded the highest market shares in passengers and cars among the companies that operate within this market. More specifically, MINOAN LINES, carried 542.000 passengers, 145.000 cars and 81.000 trucks. The corresponding market shares were shaped at 36.1% in passengers, 37.3% in cars, and 31.3% in trucks, higher than the respective share of Minoan Lines in trips (30.6%).

As regards to “Heraklion – Piraeus” line in 2007 MINOAN LINES carried 982.000 passengers, 130.000 cars and 69.000 trucks maintaining its leading position in all volumes of traffic categories. The market shares for this specific line, with the Company having realized a total amount of 45.8% number of trips, reached 72,0% for passengers, 62.2% for cars and 49.6% for trucks.

MINOAN LINES - Important developments - Prospects
Minoan Lines has proceeded with the renegotiation and restructure of the company’s bank debt succeeding a significant improvement of main financial covenants with annual benefit of € 3 million in company’s net profit. The above mentioned restructure of the Company’s loan scheme was agreed in December 2007 with the signing of a new Bond loan and was concluded with its drawdown in February 2008.

MINOAN LINES traffic data as well as up-to-date reservations and booking information for the summer season confirm the administration’s choices and decisions concerning organizational changes within the commercial division and constitute positive indications for the successful accomplishment of goals and objectives that MINOAN LINES’ administration has brought up for 2008 Main strategic goal of Minoan Lines for the coming years is the company’s growth through the further increase of market shares in the existing routes and the operation in new routes having as a top priority the maximization of returns of invested capital as well as the profit of the company’s shareholders.

Minoan Lines Press Release