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The Association is a nonprofit shippers' association, as defined by the Shipping Act of 1984, of non-vessel-operating common carriers (NVOCCs), with tariffs and surety bonds on file with the United States Federal Maritime Commission. Currently, the NAAA is comprised of over 30 individual member NVOCCs active in all global trade lanes. In response to the formation of the "super-conference" the Trans-Atlantic Agreement (TAA) in 1992, the NAAA was created to provide its members with competitive ocean freight rates and services. Subsequently, each shipping season the NAAA has signed service contracts and various transportation programs with member lines of the Atlantic conference. Presently, the Association is actively participating in all North Atlantic trade lanes with the Trans-Atlantic Conference Agreement (TACA), TAA's successor conference, and select independent carriers. The NAAA is comprised of small, medium and large-sized NVOCCs, and collectively ships tens of thousands of TEUs on the Atlantic. NAAA cargo represents one of the largest portions of total traffic moving between the US and Europe. When other trades are considered, NAAA volume triples on an annual basis.

Over the past few years, the NAAA has expanded its scope of operations to include additional trade lanes outside of the traditional North Atlantic. The decision to enter new trade lanes reflects the general membership? desire to utilize the shippers' association to the fullest extent possible under the 1984 Act in securing the most favorable freight rates and services available. This also reflects the need for NVOCCs to provide quality service and rates on a global basis to their shipper-clients. Just as carriers are developing consortia, alliances, and "talking agreements" to compete in the ever-changing world of ocean shipping, NVOCCs realize that multi-trade services are a necessity.

Presently, the Association is active in the following trades:

• Transatlantic (conference and non-conference);
• East Coast of South America (non-conference);
• West Coast of South America (non-conference);
• North/South Asia (outbound F.A.K. and F.C.L. non-conference) ; Mediterranean Trades (non-conference);
• Middle East (non-conference);
• and US-Australia/New Zealand (conference contract discussions ongoing).

A Board of Directors, which is comprised of individual member NVOCCs of the NAAA, governs the Association. The Board presently consists of seven (7) members charged with the responsibility of overseeing the policy-making and general operation of the Association. The Association has a long history of negotiating and securing service contracts with conferences and lines on behalf of the member NVOCCs. This relationship-building is mutually beneficial, since the conference/line is able to secure a typically large volume commitment, and the Association is able to obtain desirable rates and services. The NAAA believes these long-term relationships with carriers and conferences results in stability in a particular trade and a sense of professionalism between our two segments of the ocean shipping industry.

In terms of participating as a member in the current shipping season, please be aware that, in accordance with Association by-laws, members may only participate in a service contract or a time volume rate ("TVR"), if they were members at the time of execution, and the member had formally enrolled in such service contract or TVR(s) with the NAAA. This is subject to application by the Board. In view of this, please note that participation in the current shipping season is not guaranteed. However, the Board has decided to review applicants on a case-by-case basis which may be of interest to the Association's activities in terms of service contracts and TVRs outside in "developing markets," such as the NAAA activities in the South America trades, outbound or inbound Asia, or US-Australia/New Zealand, or additional trade lanes. Further, please be aware that ultimate and final action on all applications is at the discretion of the Board of Directors.

To that end, we are enclosing for your review and completion an application form, which must be returned to our office along with a nonrefundable Processing Fee of $500. The Association will only review those applicants who have submitted a completed application form and have returned all requested materials.

Again, please note that the membership policy is solely the result of Board decisions.

Since possible membership will be viewed in conjunction with potential contribution in all transportation programs which the NAAA participates, both at the present and in the future, please forward all required material to our office as soon as possible. The NAAA has closely monitored the ocean shipping regulatory reform discussion and believe that the NAAA is able to provide members of all sizes with valuable services and access to contracts whatever form "deregulation" ultimately takes. Ocean shipping reform will impact all members of the association?nd all segments of the shipping community. Therefore, the NAAA is carefully reviewing all applications for membership.

In general, membership is determined by:

1. a valued "transportation-related reason" for admitting the individual company at the time of its application, which may include expansion of the NAAA's operations into additional trades, or filling a vacancy in the general membership; and
   
   
2. financial stability as demonstrated by the individual company? statements, as well as outside sources, such as Dun & Bradstreet. Again, all confidential business information is not disclosed to any Board member, or other member of the Association; proprietary information is reviewed by this Office only to determine financial standing of a company. We are willing to discuss membership review and consideration in more detail.

Should you have additional questions regarding the application process, please contact our office for further explanation. We look forward to exploring possibilities between the NAAAI and your company.

Please download the application statement and accompany shipper questionnaires and return them to the NAAA.