TransAtlantic: Interim Report January-September 2013

Regulatory News:

Third quarter

· Net revenues amounted to SEK 753 M (784)

· Result before capital costs, EBITDA, amounted to SEK 108 M (112)

· Operational result before tax amounted to SEK 49 M (-33)

· Result before tax amounted to SEK 44 M (-39)

· Result after tax amounted to SEK 43 M (-42)

· Earnings per share after tax amounted to SEK 0.4 (-0.4)

January-September

· Net revenues amounted to SEK 2 264 M ( 2 509)

· Result before capital costs, EBITDA, amounted to SEK 199 M (132)

· Operational result before tax amounted to SEK -113 M (-287)

· Result before tax amounted to SEK -136 M (-295)

· Result after tax amounted to SEK -156 M (-298)

· Earnings per share after tax amounted to SEK -1.4 (-2.7)

Major events during the third quarter

· The Group presented a positive quarterly result which relates to Viking Supply Ships operational profit of SEK 100 M.

· Rederi AB TransAtlantic (STO:RABTB)(OSE:VSS01) entered into an agreement with AtoB@C Shipping AB where TransAtlantic effectively outsources all commercial activities of its Short Sea Bulk division, starting September 1, 2013. The agreement also includes chartering of TransAtlantic’s small bulk vessels to A2B@C.

· To align fleet capacities with tonnage requirements, Industrial Shipping sold two vessels during the quarter, TransEagle and TransFalcon.

· Tomas Bergendahl started his position as the Group’s Chief Financial Officer in July.

· Viking Supply Ships entered into a long term contract in October with an oil major for four AHTS vessels. The contract value of the firm period, including mob/demob, is about USD 120 M.

· The Group’s liquidity situation is strained and the Group has been in breach with certain covenants during the third quarter, which is also noted in the Auditors’ review report. The Group has received waivers from relevant banks. · In connection with the planned rights issue, an extraordinary general meeting will be held on November 5, 2013 at 12.00 noon, in Gothenburg, Sweden.

Result before tax in the third quarter was SEK 44 M, which is an improvement compared to both prior year period (-39) and the second quarter of 2013 (-42). The positive result was attributable to Viking Supply Ships’ quarterly operational result, which amounted to SEK 100 M. The corresponding figure for Industrial Shipping was SEK -51 M.

In October, the financial asset that was related to tax-lease structures in the UK was sold, as announced in the preceding quarter. The sale will generate a positive cash flow effect and the Group’s liquidity is now at a more stable level, however still strained.

On November 5, an Extraordinary Meeting of Shareholders will be held in Gothenburg. Shareholders will then decide whether to approve the Board’s motion for a new share issue. Further information is provided in the official announcement, which was published earlier and is available on our website, www.rabt.se.

Industrial Shipping

As part of improving the business area’s "portfolio management” and become a more dominant player in RoRo and container traffic in the Baltic Sea and the Bothnian Bay, entered into an agreement with AtoB@C Shipping AB during the quarter, under which we have been managing all commercial operations related to TransAtlantic’s Short Sea Bulk division since September 1, 2013. As a result of the agreement, the number of employees in the segment will be reduced by 15.

Over the last quarters the market has consistently weakened, hence Industrial Shipping has reduced its total onshore workforce by about 60 individuals over the past year. Furthermore, six offices have been closed and the fleet has been reduced by about 20 vessels, including the TransEagle and the TransFalcon, which were sold during the third quarter. The business area has sold and exited non-core assets and operations, and has in effect withdrawn from the Bulk segment. A project to more than half the number of legal entities by year-end has also been initiated.

Much work has been done and we are now seeing how our change efforts are beginning to generate results in the form of a changed organizational structure with fewer office units and process improvements. However, these measures have not been sufficient relative to the continued decline in volumes, and the operational result is essentially at the same level as one year ago. Earnings were also charged with costs that are related to restructuring initiatives.

In conclusion, the market detoriation has offset the efficiency gains, new client intake and reduce cost level, which explains the continued weak results over the last quarters. The market for Industrial Shipping is difficult to assess at present, but we do not expect a significant improvement in the short term. We are continuing to focus on increasing commercial activities and reducing the cost base to thereby become more competitive.

Viking Supply Ships

The preceding quarter’s positive spot market in the North Sea continued in the third quarter. This quarter entailed increased activity, which, combined with unchanged access to vessels, resulted in a continued high rate of utilization. The combination of increased rates, higher utilization and new long-term contracts for anchor-handling vessels generated improved earnings for the business area.

For icebreaking and offshore activities, we are anticipating a period of uncertain weather, thus making the spot market difficult to assess. The recently signed contract with the four anchor-handling vessels, at favorable market rates, will increase profitability for Viking Supply Ships for the coming years.

To summarize, we have won a strategically important long term contract for Viking Supply Ships whilst the challenges for Industrial Shipping remain.

Gothenburg, October 30, 2013 Henning E. Jensen, CEO

The financial report is available in its entirety on www.rabt.se.

In conjunction with the publication of the Q3 report 2013, an earnings call will take place on Wednesday October 30, at 09.30 am (CET) with TransAtlantic’s CEO, Henning E. Jensen and CFO Tomas Bergendahl.

Please dial in 5-10 minutes prior to start using the number and confirmation code below:

Phone number: + 47 2316 2787

Participant code: 6707065

Prior to the call, a presentation will be published on http://www.rabt.se/en/Investor-Relations/Calendar/Earnings-call-Q3/

Rederi AB TransAtlantic is a leading Swedish shipping company with headquarters in Gothenburg, Sweden and additional offices in Europe. The company is organized into two business areas: Industrial Shipping and Viking Supply Ships. The company has about 900 employees and the turnover in 2012 was MSEK 3,274. The Industrial Shipping business area consists of three divisions: Container, RoRo and Bulk. The company’s B-shares are listed on the NASDAQ OMX Stockholm, Small Cap segment. www.rabt.se

TransAtlantic is obliged to make this information public according to the Financial Markets Act and/or the Financial Instruments Trading Act (Sw: lagen om värdepappersmarknaden and lagen om handel med finansiella instrument). The information was submitted for publication on October 30, 2013 at 08.30 a.m.

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