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CMA CGM and IBM Establish Joint Venture

World's Third Largest Shipping Company and IBM Join Forces to Create a Common Entity to Manage and Develop an Upgraded IT System

MARSEILLE, France - 30 Oct 2006: The CMA CGM Group, the world's third largest shipping company, and IBM (NYSE: IBM) have announced the creation of a 50-50 joint venture to provide CMA CGM with enhanced core information technology systems to support and accelerate its strong growth. IBM will provide IT expertise to the new company, CMA CGM SYSTeMS, to help accelerate CMA CGM's performance in the global shipping industry. This new company will work exclusively for CMA CGM Group.

The joint venture will be based in Marseille from January 2007, employing 286 CMA CGM employees from the outset, who will retain their existing status and benefits. The new company expects turnover of approximately 700 million euros over the ten year term of the initial agreement.

Faced with rapid developments in the global shipping market, CMA CGM SYSTeMS aims to:

"This alliance with IBM gathers complementary expertise from two industry leaders," says Farid T. Salem, CEO of the CMA CGM Group. "Our common goal is to improve both efficiency and service performance for our current and future customers. On-going search for performance and innovation is really at the core of this strategic decision."

"This agreement leads us to combine our business consulting and IT expertise to create new, innovative methods for CMA CGM to meet business objectives, service customers, and drive bottom-line growth," said Dominique Cerutti, General Manager IBM Southwest Europe. "As the shipping industry becomes more competitive, flexible, responsive IT infrastructures and innovative business models are required to meet customer needs."

About CMA CGM

CMA CGM, founded and run by Jacques R. Saadé, is the third leading container shipping Group in the world and the leading one in France. With a fleet of 279 ships, the company serves more than 350 ports and in 2005 transported more than 5 million TEU (twenty feet equivalent unit), generating revenue of EUR 5.95 billion*. Present in all continents and in 126 countries via its agencies, the Group employs more than 10,000 people across the world, of which more than 4,000 in France.

* Including the Delmas group.

About IBM

For more information on IBM: www.ibm.com

Contact(s) information

Adam Emery
IBM Media Relations
914-472-3283
adame@us.ibm.com

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