Under the terms of the agreement, ICTSI will pay the Port US$8 million at closing in addition to an annual rent payment of US$4.5 million, subject to any increases in the consumer price index. As terminal volumes increase over time, ICTSI will pay the Port additional incremental revenue per container moved. The Port of Portland will continue to be responsible for providing security services at Terminal 6.
“Improving access and capacity for exporters and importers, and increasing volumes are the priorities of the Port and ICTSI. We have the capital and the international connections to make that happen,” said Marcelo Suarez, ICTSI Senior Vice President. “We have been aware for several years that the Port of Portland and ICTSI had complementary business goals. And, as we have gotten to know the City of Roses, we’ve been looking forward to the possibility of becoming part of this community.”
ICTSI develops, manages and operates container ports and terminals worldwide. The Port of Portland will be ICTSI’s exclusive focus on the West Coast. Based out of Manila, Philippines, ICTSI is a leading independent international container terminal operator and has experience operating 18 terminals in 13 countries, including a terminal in Naha, Okinawa, where ICTSI also handles provisions for the United States military. The company has recently concluded agreements to operate and develop container terminals at the Port of Muara in Brunei, the Port of La Plata in Argentina and the Port of Manzanillo in Mexico.
ICTSI has staff and management in Portland with local and West Coast expertise. Marcelo Suarez is ICTSI’s Senior Vice President with overall responsibility for the company’s operations in the Americas. Elvis Ganda is ICTSI’s Oregon-based CEO. Ganda comes to Portland with significant experience in terminal operations, ocean carrier management and port authority administration. Most recently, Ganda was President of California United Terminals in Long Beach, California.
"With expanded global reach, access to private capital and incentive to grow the business here in Portland, we see a bright outlook for local jobs, cargo volumes, and expanded access for regional exporters to ports worldwide," said Bill Wyatt, executive director for the Port of Portland. "We see this lease agreement as a vote of confidence in our Port and the surrounding region from a growing international operator."
The Port of Portland has long aimed to connect the region to the national and global marketplace. Many of the Port’s key existing customers such as shipping lines, railroads and airlines are located outside of the region or outside of the U.S and are private sector companies. Every ton of container cargo that comes through the marine terminals generates a local economic impact of $70.
