Dear Valued Customers:

Yang Ming's 2nd quarter performance was undoubtedly impacted by higher operating costs, largely caused by the significant rise in bunker price. While we see others in the containership industry face similar struggles, Yang Ming anticipates a healthier second half, driven by an improving supply and demand ratio. Also, Yang Ming will be redelivering 18 of its high-cost chartered vessels, starting in the 4th quarter to 2020. At the same time, we are excited to take delivery of 25 new ships starting from Q4 2018, which will revitalize and reshape our fleet. Lastly, Yang Ming's equity, strengthened by the injection of US$343.5 million capital and a US$255 million secured convertible bond issued on May 25, 2018, together with its increased government-related ownership to 45% will bolster Yang Ming's access to financing channels in Taiwan.

Thanks and best regards,

Yang Ming Marine Transport Corp.