ADVISORIES ARE AVAILABLE AT http://www.pancanal.com FOR ETAS OR DIRECT COMMUNICATION WITH OUR OFFICES, REFER TO NOTICE N-3-2021 Panama Canal Authority Vice Presidency for Operations Advisory to Shipping No. A-25-2022 July 15, 2022 TO : All Shipping Agents, Owners, and Operators SUBJECT: Panama ́s Cabinet Council Approves Toll Structure On July 12 th , 2022, following the recommendation from the Panama Canal Authority (ACP) Board of Directors, the Cabinet Council of the Republic of Panama officially approved modifications to the Canal Tolls structure. The tolls modifications aim to strengthen the tolls structure in a way that is consistent with the value provided by the Canal transit service while providing greater visibility and predictability to customers, The modifications lead to a simplified structure, while adding transparency for the benefit of the Panama Canal and its customers. The tolls proposal was issued on April 1st, 2022 and went through a formal consultation period during which 17 interested parties submitted their comments and opinions in writing. The public hearing was held in Panama on May 20, 2022, with the participation of seven parties, representing local and international customers. During this process, customers recognized the Canal’s efforts to promote global trade, especially during the COVID-19 pandemic and welcomed the simplification of tolls. Ensuring that customers’ feedback from the open and transparent dialogue was considered, the structure was modified to incorporate the following changes to the original proposal: • Transits of vessels in ballast condition: For all market segments except for containerships, tolls will be calculated by applying 85% of the laden toll instead of the originally proposed 90%. • Containership segment: The charge for empty containers (TTE) will be reduced to $2/TEU in 2023, $4/TEU in 2024, and $6/TEU in 2025, instead of the $5, $6.50, and $8 that were initially proposed for each year, respectively. • Passenger vessels segment: The proposed tolls for the year 2023 will not be implemented, considering the challenges still being faced by the cruise industry. Instead, the new tolls will go into effect in January 2024 and January 2025 at the levels established in the original proposal for those years, providing the industry with a twoyear advanced notice. All other tariffs will be implemented gradually from January 2023 to January 2025 at the originally proposed levels, including the proposed modifications to the loyalty program for containerships, which will be phased out by January 2025. Incentives for return voyages 3654-A (OP-I) V. 1/10/2020 OP, July 15, 2022 Subject: Panama ́s Cabinet Council Approves Toll Structure applicable to containerships and liquefied natural gas (LNG) vessels will be eliminated by January 2023 when the new structure comes into effect. The visibility charge currently applied to full container vessels, and classified as Other Marine Services, will be eliminated prior to the implementation of the new tolls to avoid an overlap with the Total TEU capacity (TTA) charge. The approved toll modifications are available at the following link: https://www.pancanal.com/en/tolls/ For more information regarding the modified toll structure, please write to: canaltolls@pancanal.com ORIGINAL SIGNED Boris Moreno Vásquez Vice President for Operations (e)