OPASCOR is engaged principally in stevedoring and arrastre services for foreign cargoes at the Port of Cebu. The Company operates one-third of the 12-hectare facility of the CIP, occupying two berths out of an approximately 600 meters quay length composing the international port of Metro Cebu.


SCOPE OF SERVICES

      1. STEVEDORING Stevedoring means all work performed "on board vessel", that is the process or act of loading and unloading cargoes, stowing inside hatches, compartments and on deck or open cargo spaces on board vessel. Related services to stevedoring are the activities of rigging and unrigging of ship's gear, unlashing and lashing of cargoes, and securing cargo on board.

      2. ARRASTRE Arrastre means all work performed "on dock", that is the process or act of receiving and loading cargoes from and to ship's tackle, providing mechanical equipment for receiving, stowing, transporting, shifting, sorting and piling of cargoes, checking, tallying, and marking of these cargoes, and securing them from pilferage or losses while under custody on dock.

      3. OTHER RELATED SERVICES Other related services include, among others, making fast and letting go of vessels, shifting of cargoes during vessel operation, opening and closing of hatches, stripping and stuffing of containers, bagging of bulk cargoes, and providing labor for special works requested by clients that are not related to stevedoring and arrastre services.



PRODUCTIVITY

      Productivity refers to the efficiency of operational "gang" in producing of handling volume of cargoes over a certain period of time (hour, day). Productivity rate is normally expressed in metric tons when handling non-containerized cargoes, and in boxes when containerized cargoes. Productivity rates on non-containerized cargoes vary according to type of commodities handled and type of vessels serviced, while on containerized cargoes the rate is based primarily on the quay crane performance.

      Productivity rate is computed at net gang hours, that is any standby hours caused by rain, vessel mechanical trouble, and other factors not attributable to the cargo handler, would be deducted from gross operating gang hours. For purposes of determining the productivity rate on a per day bases, OPASCOR assumes a "maximum 20 operating hours" per day per gang, exclusive of any standby hours.

      For the detailed activities on stevedoring and arrastre services, and the productivity rates per type of commodity and vessel, please see the following exhibits:

      Stevedoring - Non-Containerized Cargo (Shipside)
      Stevedoring - Non-Containerized Cargo (Quayside)
      Stevedoring - Containerized Cargo Arrastre - Non-Containerized Cargos Arrastre -       Containerized Cargo Other related services Productivity - Per Net Gang Hour







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