March 15, 2006

Subject: Horizon Lines Fuel Surcharge Increase — from 15% to 18.5%

Dear Valued Hawaii/Guam Customer,

Horizon Lines has amended its Fuel Surcharge for the Hawaii and Guam trades for the second quarter of 2006.

Effective Monday, April 3rd, 2006, the Fuel Surcharge will increase by 3.5%, from 15% to 18.5%. This Fuel Surcharge will remain in effect through-out the second quarter of 2006 or until a significant trend in fuel costs warrants another adjustment.

The amended Fuel Surcharge was filed today with the Surface Transportation Board and covers Horizon Lines’ Tariffs 468, 353, and 961; which govern shipments moving between the continental U.S. and Hawaii and Guam.

If you have any questions or concerns regarding this, please contact your local Horizon Lines Sales Representative or Horizon Lines Customer Service at 1-877-678-SHIP (7447).