Matson

September 5, 2008

Subject:  Matson Lowering Fuel Surcharge for Hawaii, Guam/CNMI and Micronesia Services by 4.75 Percentage Points

Dear Matson Customer:

As a result of recent declines in bunker fuel prices, Matson announced today that it is decreasing its fuel surcharge for its Hawaii service by 4.75 percentage points, from 42.25 to 37.5 percent, and its Guam/CNMI and Micronesia service by 4.75 percentage points, from 43.75 to 39 percent, effective September 21, 2008.

"Matson is very pleased to finally have the opportunity to lower its fuel surcharge following an extended period of record high fuel related costs in the world oil market," said Dave Hoppes, senior vice president, ocean services. "While crude oil and gasoline prices began to decline in August, Matsons expenses for bunker fuel, which is used to power its fleet, continued to climb. Fortunately, Matson is now seeing the downward trend extend to bunker fuel costs, allowing the company to make this adjustment. For most customers, this represents a decrease in shipping costs ranging from $115 to $180 per container. We are hopeful this current trend will continue, resulting in further decreases in the future. We will continue to monitor fuel costs and adjust the fuel surcharge accordingly."

If you have any questions, please contact your local account executive or our Customer Support Center.

Thank you for shipping with Matson.