The Group is exposed to fl uctuations in freight rates, particularly in the container shipping market. This cyclical risk is mitigated by lowering the exposure towards the spot market by stabilising revenue through use of annual and semi-annual customer contracts. This is further supported by delivering diff erentiated service off erings with focus on reliability, ease of business and environmental performance, driving customer focus towards the entire value chain of transportation, and away from a sole focus on freight rates. In periods of excess tonnage, capacity can be reduced by redelivery of time chartered vessels, scrapping, lay-up and postponement of new building deliveries.