14 April 2002 SPIRIT OF TASMANIA I & II TT-Line Company Pty Ltd's new Bass Strait vessels Spirit of Tasmania I and II will offer new budget fares for daytime crossings. Chief Executive Mr Peter Simmons said the passenger fare of $125 per person one way during the peak season and $100 during the shoulder season provided the company with even greater capacity to transport passengers to and from Tasmania by sea. " A family of four travelling with their car can travel from Melbourne to Tasmania from $555 between 7 December 2002 and 26 January 2003 and $440 between 31 August 2002 and 6 December and 27 January 2003 and 27 April," he said. " The cheapest alternative for the same family travelling to Tasmania on the current Spirit during the peak season would be $595 and $488 during the shoulder season. " In addition to offering a highly affordable Bass Strait transport option, the family can then enjoy the convenience of travelling around Tasmania in the comfort of their own car, free to go where they want, when they want." Mr Simmons said while fares on the new vessels at the premium end of the market had increased, it was important to note that the new vessels were vastly different to the existing Spirit of Tasmania offering new levels of luxury and comfort. " In directly comparable accommodation such as four berth cabins and cruise seats, fares have been reduced," he said. " These reductions have been achieved despite TT-Line having to pass on to passengers some of the cost increases incurred since the last fare increase on 1 January 2001. " Like many operators, TT-Line has had to absorb considerable increases in its operating costs, particularly in the areas of security and insurance since the attacks of 11 September and wages. " While TT-Line could not continue to absorb these increasing costs, only a portion have been passed on to the travelling public in the form of a passenger fare increase effective 1 September 2002." Mr Simmons said the bulk of the increases would be absorbed internally through efficiency and productivity gains associated with the introduction of the new vessels. He said fare increases on the current Spirit of Tasmania would also have been required if the company continued to operate the vessel past 1 September 2002. " These increases may have been more significant given TT-Line was able to internally absorb some cost pressures through efficiency and productivity gains provided by the new two vessel service," he said. Mr Simmons said the fares offered on Spirit of Tasmania I and II offered a range of good value options from the budget traveller to those seeking luxury travel. " Additionally, a choice of meals will be offered from budget snacks through to a-la-carte dining. Importantly, passengers will be able to make their own decisions about the cost of their meals." For further information please contact: Ms Simone Ferrier TT-Line Company Manager Corporate Communications Telephone 03 9206 6220 / 0417 540 583