2000 First Quarter Results

Trailer Bridge, Inc. Press Release
For Immediate Release, May 09, 2000

Contact: John D. McCown
Chairman & C.E.O.
Trailer Bridge, Inc.
(800)-554-1589

Trailer Bridge Reports First Quarter Results

JACKSONVILLE, Fla. -- Trailer Bridge, Inc. (TRBR) reported total revenue of $21,333,405 for the three months ended March 31, 2000, a decrease of $1,417,199 or 6.2% compared to the first quarter of 1999. The PIERS data indicates that the overall Puerto Rico market was down 7.8% as market volumes swelled during the first quarter of 1999 in the aftermath of Hurricane Georges. Based primarily upon a change in itinerary involving the same number of deployed vessels, Trailer Bridge had 15.3% more overall vessel capacity deployed to Puerto Rico compared to the first quarter of 1999.

First quarter operating loss was $903,030, an improvement of $1,175,405 from the $2,078,435 operating loss in the year-earlier period. Compared to the first quarter of 1999, operating income was higher despite lower yields and revenue due to the absence of additional costs estimated at $2,382,909 related to the disruption resulting from the loss of use of the San Juan ramp due to Hurricane Georges. As a result of the above, the operating ratio was 104.2% during the first quarter of 2000 compared to the 109.1% operating ratio during the year-earlier period. Net interest expense of $943,996 was up $291,203 from the year-earlier period that included less debt and lower interest rates.

Loss before income taxes for the first quarter of 2000 was $1,836,265, an improvement of $864,546 from the year-earlier period. After income taxes, net loss for the first quarter was $1,150,927 compared to the net loss of $1,683,679 for the year-earlier period. Net loss per share was $.12 for the first quarter compared to net loss per share of $.17 for the year-earlier period.

More than 150% of the overall operating loss for the first quarter occurred in January, and the actual operating results for the month of March were the best for any single month since March, 1998. The following table highlights the actual operating results for the quarter by month along with related volume and utilization statistics.

                           January      February        March       1Q 2000

    Revenue              5,511,777     6,696,021    9,125,607    21,333,405
    Operating (loss)
     income            (1,387,795)     (452,787)      927,551     (903,030)
    Net (loss) income
     before taxes      (1,689,450)     (764,414)      617,598   (1,836,265)
    Net (loss)
     income            (1,049,939)     (477,491)      376,502   (1,150,927)
    Net (loss) income
     per share              (0.11)        (0.05)         0.04        (0.12)
    Operating ratio         125.1%        106.7%        89.7%        104.2%
    Weeks Volume/Revenue         4             4            5            13
    Southbound Puerto
     Rico volume             1,950         2,400        3,078         7,428
    Total Puerto Rico
     volume                  2,574         3,155        4,223         9,952
    Southbound vessel
     capacity utilization    66.8%         75.5%        80.0%         74.7%
    Overall vessel
     capacity utilization    46.1%         51.7%        54.9%         51.4%

For the three months ended March 31, 2000, net cash provided by operating activities was $1,064,672, an improvement of approximately $3.5 million from the year-earlier period. At March 31, 2000, cash amounted to $2.0 million, and stockholders equity was $28.1 million. Trailer Bridge was in compliance with all financial covenants related to its revolving credit at March 31, 2000. Based upon amendments to that agreement, Trailer Bridge anticipates more than a 10% reduction in its interest expense compared to the first quarter. The Company believes that it presently has sufficient capital resources and liquidity for its current and anticipated operations.

For the first quarter of 2000, Trailer Bridge's total southbound volume decreased .4%, and northbound volume increased by 12.1% compared to the year- earlier period. As both of these changes were favorable compared to the respective changes in overall market volume, the southbound market share excluding vehicles improved to 12.2% from 11.9% for the year-earlier period, and the northbound market share improved to 15.6% from 13.3% for the year- earlier period. Comparing total volume and total revenue by direction, Trailer Bridge's effective yield to and from Puerto Rico decreased 9.2% and 10.9%, respectively, compared to the same period last year. The Company's Puerto Rico deployed vessel capacity utilization overall during the first quarter was 74.7% to Puerto Rico and 26.8% from Puerto Rico, compared to 88.8% to Puerto Rico and 26.8% from Puerto Rico for the same period last year. As shown in the table above, however, Trailer Bridge's vessel capacity utilization grew consistently in both directions throughout the first quarter. All of these capacity utilization figures are based upon vessels deployed in service and exclude the effect of two Triplestack Box Carriers(TM) that are presently laid up. Total net expenses related to these two vessels, consisting primarily of depreciation and interest and reduced by $259,090 of charter revenue from third parties in the early part of the quarter, were $98,848 during the first quarter. When deployed, these two vessels will increase Trailer Bridge's in-service fleet capacity by approximately 31%.

Trailer Bridge's business model involves a high degree of operating leverage with changes in volume having a disproportionate effect on overall results. Based upon its cost structure and the fixed-versus-variable nature of those costs, Trailer Bridge believes that its present incremental cost to handle additional volume within its system is lower than that of any of its competitors. The actual monthly operating results and statistics in the table above underscore the favorable effect this operating leverage has on Trailer Bridge's overall results.

John D. McCown, Chairman and CEO, said, ``Our results for March alone are testament to the positive effect of additional volume on our business model even in these turbulent market conditions. The positive trends in our intra- quarter results speak for themselves. Beyond our continued growth even in these market conditions, our cost structure, capabilities and investments have us very well positioned to benefit when the inevitable adjustments in the market occur.''

Trailer Bridge will discuss first quarter results in a conference call at 10:00 a.m. (Eastern Time) on Wednesday, May 10, that will simultaneously be broadcast over the Internet through Investor Broadcast Networks' Vcall website, located at www.vcall.com . To listen to the live call please go to the website at least fifteen minutes early to register, download and install any necessary audio software. If you are unable to listen live, the conference call will be archived and can be accessed for approximately 90 days either through the www.vcall.com or www.trailerbridge.com website.

Trailer Bridge provides integrated trucking and marine freight service to and from all points in the lower 48 states and Puerto Rico, bringing efficiency, environmental and safety benefits to domestic cargo in that traffic lane. This total transportation system utilizes its own trucks, drivers, trailers, containers, U.S. flag vessels and marine facilities in Jacksonville, New York and San Juan. Trailer Bridge's founder and majority stockholder is Malcom P. McLean, the transportation pioneer who invented containerization forty years ago. Additional information on Trailer Bridge is available at the www.trailerbridge.com website.

This press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The matters discussed in this press release include statements regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to the future operating performance of the Company. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those in the forward- looking statements as a result of various factors. Without limitation, these risks and uncertainties include the risks of economic recessions, changes in demand for transportation services offered by the Company, and changes in rate levels for transportation services offered by the Company.

                             TRAILER BRIDGE, INC.
                           STATEMENTS OF OPERATIONS
                                 (Unaudited)

                                                  Three Months
                                                 Ended March 31,
                                              2000              1999

    OPERATING REVENUES                 $21,333,405       $22,750,604
    OPERATING EXPENSES:
     Salaries wages, and benefits        4,123,808         3,963,294
     Rent and purchased
     transportation:
       Related Party                     1,829,100         1,809,000
       Other                             5,610,414         7,073,238
     Fuel                                2,473,776         1,359,625
     Operating and maintenance
     (exclusive of depreciation
      shown separately below)            5,122,682         7,403,832
     Taxes and licenses                    160,102           214,718
     Insurance and claims                  601,134           531,304
     Communications and utilities          163,981           209,301
     Depreciation and amortization       1,210,230         1,092,464
     Other operating expenses              941,208         1,172,263
                                        22,236,435        24,829,039
    OPERATING (LOSS) INCOME              (903,030)       (2,078,435)
    NONOPERATING INCOME
     (EXPENSE):
     Interest expense, net               (943,996)         (652,793)
     Gain on sale of equipment              10,762            30,417
                                         (933,234)         (622,376)

    (LOSS) INCOME BEFORE BENEFIT
     (PROVISION) FOR
     INCOME TAXES                      (1,836,265)       (2,700,811)
    BENEFIT (PROVISION)
     FOR INCOME TAXES                      685,337         1,017,132

    NET (LOSS) INCOME                 $(1,150,927)      $(1,683,679)

    NET (LOSS) INCOME PER
    SHARE                                 $ (0.12)           $(0.17)

    WEIGHTED AVERAGE
    SHARES OUTSTANDING                   9,777,500         9,777,500

©1998 Trailer Bridge, Inc.